What is the limit for making taxable removals using the Small Domestic Producer’s Credit?
The limit from all locations combined each calendar year is 100,000 wine gallons. The producer must keep track of all taxable removals being made on its behalf. After 100,000 gallons have been removed with credit from all locations, the producer’s taxable removals must be made at the full rates (without credit) for the rest of the calendar year. This is why the transferee must receive written notice prior to each removal.
