--- title: "What To Know About Tax Stamp Application: Labeling & Equipment" description: In this blog we cover what a tax stamp is and identify automation equipment that could increase your tax stamp applications and packaging efficiencies.  image: https://lh4.googleusercontent.com/8X2SldgY003w_YPRntl5L8tmNAQ7n7OHZH62YX7KxQzloWhfg-MygyjNuZSEsq2koNWc2l8dR0SAabeUfU29e8nvdXEJumciuer6HkFmOo7Kk5t3VSgZ2Yll-CUiZj8N8Q --- [![MFT Automation Logo](https://blog.mftautomation.com/hs-fs/hubfs/MFT_Logo_JPG_LightBG_Horizontal.png?width=2000&height=1000&name=MFT_Logo_JPG_LightBG_Horizontal.png "MFT Automation Logo")](https://MFTAutomation.com) - PRODUCTS - [Friction Feeders](https://mftautomation.com/feeders/) - [Labelers](https://mftautomation.com/labelers/) - [Integrated Systems](https://mftautomation.com/integrated-systems-new/) - [System Components](https://mftautomation.com/system-components-new/) - [Accessories](https://mftautomation.com/accessories-new/) - INDUSTRIES - [Pharmaceutical](https://mftautomation.com/pharmaceutical/) - [Food Industries](https://mftautomation.com/food-industry/) - [Print & Packaging](https://mftautomation.com/printing-and-packaging-industry/) - [Cannabis](https://mftautomation.com/cannabis/) - RESOURCES - [Blog](https://mftautomation.com/blog-2/) - [Video Library](https://mftautomation.com/video-library/) - [Request a Quote](https://mftautomation.com/request-a-quote/) - [Request Parts](https://mftautomation.com/request-parts/) - [Send a Sample](https://mftautomation.com/request-a-video-demo/) - ABOUT - [About Us](https://mftautomation.com/about-mftautomation/) - [Alliances](https://mftautomation.com/alliances/) - [Case Studies](https://mftautomation.com/case-studies/) - [Testimonials](https://mftautomation.com/testimonials/) - [Partners](https://mftautomation.com/contact/partners/) - [Tradeshows](https://mftautomation.com/tradeshows/) - [Careers](https://mftautomation.com/contact/careers/) - [CONTACT](https://mftautomation.com/contact/) - [PARTS PORTAL](https://parts.multifeeder.com/en/login?ReturnUrl=%2fen%2f) ![Tax Stamp Application Blog](https://blog.mftautomation.com/hubfs/Tax%20Stamp%20Application%20Blog.jpg "Tax Stamp Application Blog") # [What You Need to Know about Tax Stamp Application](https://blog.mftautomation.com/blog/what-you-need-to-know-about-tax-stamp-application) Jan 29, 2021 3:00:00 PM / by [Peter Nordling](https://blog.mftautomation.com/blog/author/peter-nordling) - [Tweet](https://twitter.com/share) In order to understand [tax stamps](https://mftautomation.com/tax-stamp-labeling/) and the process for ensuring secure and safe tax stamp application, there are a few components you must first understand. In this blog we’ll cover what a tax stamp is and what makes it different from other consumer stamps. We’ll also share common industries who may use tax stamps and identify automation equipment that could increase your packaging efficiencies.  ## What is a tax stamp? A tax stamp is a sticker placed over the opening of a consumer good or controlled substance that prevents tampering and shows proof that federal tax was applied. [Tax stamps](https://multifeeder.com/tax-stamps/) can be applied to an assortment of goods, such as alcohol, tobacco, cannabis, cigarettes, and more. Oftentimes tax stamps are also referred to as excise stamps; which are most commonly applied over the top of pouches, containers, caps on bottles, boxes, jars and more.  ## Elements of a Tax Stamp A [tax stamp](https://mftautomation.com/tax-stamps/) is typically created using security papers and embedded data (i.e. codes or serial numbers). Modernized stamps may feature holograms, security inks, and more. These elements ensure the stamp is able to safeguard the product and is trackable through [serialization technology](https://blog.multifeeder.com/blog/how-to-automate-udi-barcodes-for-pharmaceutical-packaging). ![Tax Stamp Labeling Example](https://lh4.googleusercontent.com/8X2SldgY003w_YPRntl5L8tmNAQ7n7OHZH62YX7KxQzloWhfg-MygyjNuZSEsq2koNWc2l8dR0SAabeUfU29e8nvdXEJumciuer6HkFmOo7Kk5t3VSgZ2Yll-CUiZj8N8Q)   The tax stamp contains seven important visual elements to protect its integrity: - Unique identifier number  - Duty paid status  - Jurisdiction (country)  - Stamp type (product)  - Anti-copy linework - Intaglio Image - Color shift ink  For goods being exported internationally, a color-coded tax strip may be used on the product or good; tax strips on liquor bottles are a common example. Learn more about federal tax strips [here](https://thewhiskeyjug.com/whiskey/how-to-date-a-bottle-of-whiskey/).  ## Tax Stamp Application In order to accurately and efficiently apply tax stamps to your consumer product or controlled substance, there are a few things you should know. For starters, do you work in an industry that requires this type of packaging/stamp? ##### Industries The most common types of tax stamps we see at MFT Automation are tobacco tax stamps, however drug tax stamps and cannabis tax stamps are on the rise.  Any product or consumer good that needs to verify duty and tax payment will likely use a tax stamp. Products that need additional tamper evidence are also going to benefit from this sticker and the way it seals the product. Another common form of this sticker is a liquor tax stamp. With [cannabis production](https://mftautomation.com/cannabis/) increasing across the United States, items like [drug tax stamps](https://mftautomation.com/pharmaceutical/) could be new to some. And on top of that, figuring out how to apply the stamps in an automated way can be challenging. We have good news - keep reading to find out how you can automate the process of applying these stamps and get more of your product out the door in a compliant manner.    ##### Tax Stamp Labeler & Equipment For a tax stamp application to be successful and efficient, it’s essential to have the right automation equipment. The[MFT Tax Stamp Labeling System](https://multifeeder.com/tax-stamp-labeling/) is an excellent system to consider if you’re looking for ways to improve your automation process. The system features the following components: - [MFT Impresso Labeler](https://multifeeder.com/impresso-labeler/)  - Camera verification system  - Product rejection (for any products that don’t meet your standard specs) ## Cannabis Tax Stamp Example The [MFT Tax Stamp Labeling System](https://multifeeder.com/tax-stamp-labeling/) is built with guarding around the perimeter to ensure safety of personnel in the production environment. To begin, the labeling system will automatically accept a container of cannabis, typically this is in a jar or box format. Next, the container is transported by hugger belts to the MFT Impresso Labeler. This automatic labeler machine then applies a tax stamp to the top of the cannabis container. ![MFT Tax Stamp Labeling System](https://lh4.googleusercontent.com/cZYCGYJkdL14UsXCHeGbQzylpOZ1h3Lv3TXWfOwMJqS5_6pWEvZjKgQMMbqv9V3OG-LARKmHPcT8LcyWtCAGgQHULTi0L_hqyeTF8QG67eHTepWKaDEVbd-wOrQg9lhrBw) Once the stamp is applied, an air cylinder folds the stamp around the edge of the container, making the stamp tamper-resistant. Because this security is in place, the stamp will need to be teared to open the container; a tear would indicate a container or product has been used or is not sealed for safety.  To ensure the stamp is safely and securely applied, a camera verifies its placement which can be reviewed on the digital screen in the top left of the system. If the camera identifies a stamp that has not been applied properly to the product, it will be removed from the line using the reject system. This reject system ensures that only excellent products will exit the system, saving you time and money in your packaging process.   If you consistently apply tax stamps to your products and goods but don’t have the appropriate automation equipment, you’re putting your process and business at risk. Reach out to one of our labeling experts to see if the MFT Tax Stamp Labeling System is right for your application. [Click here](https://multifeeder.com/contact/)or the button below to get started!    Sources:  *[https://www.suppressor.com/what-is-a-tax-stamp](https://www.suppressor.com/what-is-a-tax-stamp)*[*http://dopeautomation.com/excise-tax-labeling*](http://dopeautomation.com/excise-tax-labeling)[*https://thewhiskeyjug.com/whiskey/how-to-date-a-bottle-of-whiskey/*](https://thewhiskeyjug.com/whiskey/how-to-date-a-bottle-of-whiskey/) Tags: [Labelers](https://blog.mftautomation.com/blog/topic/labelers), [Labeling](https://blog.mftautomation.com/blog/topic/labeling) ![Peter Nordling](https://blog.mftautomation.com/hs-fs/hubfs/Peter.jpeg?width=100&height=100&name=Peter.jpeg) #### Written by [Peter Nordling](https://blog.mftautomation.com/blog/author/peter-nordling) [![Get a Video Demo of Your Product](https://no-cache.hubspot.com/cta/default/7931115/17eac5a5-1194-44d5-8eca-e402367b5301.png)](https://cta-redirect.hubspot.com/cta/redirect/7931115/17eac5a5-1194-44d5-8eca-e402367b5301) ### Subscribe to Our Blog - [Recent](https://blog.mftautomation.com/blog/what-you-need-to-know-about-tax-stamp-application#tab-1) - [Popular](https://blog.mftautomation.com/blog/what-you-need-to-know-about-tax-stamp-application#tab-2) - [Categories](https://blog.mftautomation.com/blog/what-you-need-to-know-about-tax-stamp-application#tab-3) ### Lists by Topic - [Labelers (16)](https://blog.mftautomation.com/blog/tag/labelers) - [Trade Show (16)](https://blog.mftautomation.com/blog/tag/trade-show) - [Automation (14)](https://blog.mftautomation.com/blog/tag/automation) - [Friction Feeders (14)](https://blog.mftautomation.com/blog/tag/friction-feeders) - [Integrated Systems (9)](https://blog.mftautomation.com/blog/tag/integrated-systems) - [Labeling (9)](https://blog.mftautomation.com/blog/tag/labeling) - [Tips and Tricks (7)](https://blog.mftautomation.com/blog/tag/tips-and-tricks) - [Inside Multifeeder (5)](https://blog.mftautomation.com/blog/tag/inside-multifeeder) - [Robotics (4)](https://blog.mftautomation.com/blog/tag/robotics) - [System Components (4)](https://blog.mftautomation.com/blog/tag/system-components) - [News (2)](https://blog.mftautomation.com/blog/tag/news) - [Food Applications (1)](https://blog.mftautomation.com/blog/tag/food-applications) see all ### Posts by Topic - [Labelers (16)](https://blog.mftautomation.com/blog/tag/labelers) - [Trade Show (16)](https://blog.mftautomation.com/blog/tag/trade-show) - [Automation (14)](https://blog.mftautomation.com/blog/tag/automation) - [Friction Feeders (14)](https://blog.mftautomation.com/blog/tag/friction-feeders) - [Integrated Systems (9)](https://blog.mftautomation.com/blog/tag/integrated-systems) - [Labeling (9)](https://blog.mftautomation.com/blog/tag/labeling) - [Tips and Tricks (7)](https://blog.mftautomation.com/blog/tag/tips-and-tricks) - [Inside Multifeeder (5)](https://blog.mftautomation.com/blog/tag/inside-multifeeder) - [Robotics (4)](https://blog.mftautomation.com/blog/tag/robotics) - [System Components (4)](https://blog.mftautomation.com/blog/tag/system-components) - [News (2)](https://blog.mftautomation.com/blog/tag/news) - [Food Applications (1)](https://blog.mftautomation.com/blog/tag/food-applications) See all ### Recent Posts ### Contact Us #### About Us MFT Automation (formerly Multifeeder Technology) is a leader in automation solutions for the pharmaceutical, medical, cannabis, food, print, and packaging industries. 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