Because sparkling wine is defined as a special tax class, it’s reported differently on the TTB Report (5120.17).

To illustrate where different sparkling operations show on the TTB Report, we created a scenario where already fermented wine was brought in in bulk, tiraged, and disgorged within a single month.

Although our scenario is unlikely in the real world, we created it to show all three operations on the 5120.17 for a single month.

Suppose we received 10,000 gallons of sparkling wine in bulk . When we recorded the bulk intake, the tax class is under 14% and the tax class is set to Sparkling Wine.

Next, we perform a tirage operation for 350 bottles produced by fermentation and bottled with a small loss.

We then disgorge against the tirage group to move the sparkling wine from bulk to bottled in vintrace.

Here’s how the three operations show in the TTB Report: 

• Line 7, column e shows our initial intake of 10000 gallons. 
• Line 13, column e shows our disgorged amount.
• Line 20, column e shows our small loss on tirage.