AL
Alabama Senate Bill SB285

Alabama 2023 Regular Session

Alabama Senate Bill SB285 Compare Versions

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1+SB285INTRODUCED
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44 By Senators Jones, Livingston, Hatcher, Stewart, Sessions,
55 Barfoot, Gudger
66 RFD: Tourism
77 First Read: 03-May-23
88 2023 Regular Session
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16-Enrolled, An Act,
17-Relating to wine and mead; to amend Section 28-3A-20.4,
18-Code of Alabama 1975, to provide that a nonprofit organization
19-may be issued a license to host a wine festival; to further
20-provide for the application process and conditions of
21-licensure to host or participate in a wine festival; and to
22-further provide for the collection and remittance of taxes due
23-on the sale of wine at a wine festival; to amend Section
24-28-6A-2, Code of Alabama 1975, to further provide for wine
25-manufacturer licensees located in dry counties by allowing
26-such manufacturers to transport and sell wine to retailers
27-under certain limits and to specify that such licensees may
28-host or participate in wine festivals; to amend Section
29-28-7-10.1, Code of Alabama 1975, to further provide for small
30-farm wineries by permitting such wineries to produce mead; and
31-to amend Section 28-7-16, Code of Alabama 1975, to further
32-provide for the excise tax rate for mead.
33-BE IT ENACTED BY THE LEGISLATURE OF ALABAMA:
34-Section 1. Sections 28-3A-20.4, 28-6A-2, 28-7-10.1, and
35-28-7-16, Code of Alabama 1975, are amended to read as follows:
36-"§28-3A-20.4
37-(a) The Legislature finds and declares that this
38-section has been enacted pursuant to the authority granted to
39-the state under the Twenty-first Amendment to the United
40-States Constitution and the powers reserved to the state under
41-the Tenth Amendment to the United States Constitution and the
17+SYNOPSIS:
18+Under existing law, certain entities may apply
19+for and be issued an event license by the Alcoholic
20+Beverage Control (ABC) Board to host a wine festival or
21+to participate in a wine festival. The host and
22+participant licensees may dispense tastings and sell at
23+retail to individuals for personal consumption on or
24+off the festival grounds.
25+This bill would allow a nonprofit organization
26+to apply for a license to host a wine festival.
27+This bill would simplify the process for license
28+applications, both to host a wine festival for any
29+applicant that is currently a licensee of the board or
30+to participate in a wine festival.
31+This bill would provide that wine festival
32+participant licensees be given the option of remitting
33+local taxes through the host licensee.
34+Under existing law, a winery may be located in a
35+dry county under a separate manufacturer's license
36+given by the ABC Board. The licensee is only permitted
37+to distribute its wine outside of the county, and only
38+to licensed wholesalers.
39+This bill would allow wine producers licensed to
40+be located in dry counties to directly sell their wine
41+to retailers under annual gallon limits, and only when
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71-inherent powers of the state under the Constitution of Alabama
72-of 19012022. It is the intent of the Legislature that this
73-section maintains the current three-tier system of control
74-over the sale, distribution, purchase, transportation,
75-manufacture, consumption, and possession of alcoholic
76-beverages in the state and promotes the health, safety, and
77-welfare of residents of this state.
78-(b)(1) Notwithstanding any other section of this title,
79-including, but not limited to, Sections 28-3A-6, 28-3A-25, and
80-28-7-4, upon application made on a form provided by the board
81-at least 25 days in advance of the event for which a license
82-is sought and accompanied by a fee not to exceed fifty dollars
83-($50), the board shall issue a license for a wine festival to
84-a manufacturer of wine licensed by the board manufacturing at
85-least 500 gallons of table wine in this state annually; a
86-retailer; an organization comprised entirely of grape growers,
87-wineries, or grape growers and wineries; a municipality; a
88-county; or an incorporated arts council, main street program,
89-501(c) organization, other nonprofit organization as that term
90-is defined by rule of the board, or downtown development
91-entity upon such terms and conditions as the board may
92-prescribe by rule.
93-(2) The wine festival license shall authorize the
94-licensee to host a festival at which wine festival participant
95-licensees may dispense tastings and sell at retail to
96-individuals physically present at the festival for on-premises
97-or off-premises consumption and for personal use and not for
98-resale, subject to subsection (e).
71+the wine is transported by employees using vehicles
72+owned or leased by the producer.
73+This bill would also provide that wine producers
74+in dry counties may be licensed to host or participate
75+in wine festivals held in wet counties.
76+Under existing law, a producer of table wine can
77+qualify as a "small farm winery" if at least 50 percent
78+of the wine it produces comes from fruit grown within
79+Alabama or where all of its wine is produced in Alabama
80+and it owns eight acres or more of vineyard in Alabama.
81+This bill would allow small farm wineries to
82+also produce mead where at least 50 percent of the
83+honey used in production is harvested in Alabama.
84+Finally, this bill would specify that mead is
85+taxed for excise purposes at the same rate as table
86+wine.
87+A BILL
88+TO BE ENTITLED
89+AN ACT
90+Relating to wine and mead; to amend Section 28-3A-20.4,
91+Code of Alabama 1975, to provide that a nonprofit organization
92+may be issued a license to host a wine festival; to further
93+provide for the application process and conditions of
94+licensure to host or participate in a wine festival; and to
95+further provide for the collection and remittance of taxes due
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128-(3) If the applicant for a wine festival license is
129-currently a licensee of the board at the time of application,
130-the board shall only require submission of all of the
131-following information:
132-a. The name and address of the applicant and photo
133-identification.
134-b. The start and end dates of the festival.
135-c. A description of the wine festival location. If the
136-applicant does not own or control the wine festival location,
137-then the applicant shall include written permission by the
138-person with ownership or control over the property for the
139-wine festival licensee and any wine festival participant
140-licensees to use the property for that wine festival.
141-(4) The board shall not require the following:
142-a. That the applicant submit the application to the
143-board in person.
144-b. That the applicant certify that a liquor liability
145-insurance policy providing coverage for the applicant for the
146-wine festival has been purchased where the applicant submits a
147-written statement from the liquor liability insurer that the
148-applicant's existing liquor liability insurance policy covers
149-the applicant's activities at the wine festival.
150-(c) A wine festival licensed under this section may not
151-operate for more than five consecutive days.
152-(d)(1) Upon application made on a form provided by the
153-board at least 15 days in advance of the event for which a
154-license is sought and accompanied by a fee not to exceed
155-fifteen dollars ($15) ten dollars ($10) , the board shall issue
125+on the sale of wine at a wine festival; to amend Section
126+28-6A-2, Code of Alabama 1975, to further provide for wine
127+manufacturer licensees located in dry counties by allowing
128+such manufacturers to transport and sell wine to retailers
129+under certain limits and to specify that such licensees may
130+host or participate in wine festivals; to amend Section
131+28-7-10.1, Code of Alabama 1975, to further provide for small
132+farm wineries by permitting such wineries to produce mead; and
133+to amend Section 28-7-16, Code of Alabama 1975, to further
134+provide for the excise tax rate for mead.
135+BE IT ENACTED BY THE LEGISLATURE OF ALABAMA:
136+Section 1. Sections 28-3A-20.4, 28-6A-2, 28-7-10.1, and
137+28-7-16, Code of Alabama 1975, are amended to read as follows:
138+"§28-3A-20.4
139+(a) The Legislature finds and declares that this
140+section has been enacted pursuant to the authority granted to
141+the state under the Twenty-first Amendment to the United
142+States Constitution and the powers reserved to the state under
143+the Tenth Amendment to the United States Constitution and the
144+inherent powers of the state under the Constitution of Alabama
145+of 19012022. It is the intent of the Legislature that this
146+section maintains the current three-tier system of control
147+over the sale, distribution, purchase, transportation,
148+manufacture, consumption, and possession of alcoholic
149+beverages in the state and promotes the health, safety, and
150+welfare of residents of this state.
151+(b)(1) Notwithstanding any other section of this title,
152+including, but not limited to, Sections 28-3A-6, 28-3A-25, and
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185-a wine festival participant license to any retailer or any
186-manufacturer of table wine licensed by the board that
187-manufactures at least 500 gallons of table wine in this state
188-annually.
189-(2) A wine festival participant license shall authorize
190-the licensee to dispense tastings and sell at retail to
182+28-7-4, upon application made on a form provided by the board
183+at least 25 days in advance of the event for which a license
184+is sought and accompanied by a fee not to exceed fifty dollars
185+($50), the board shall issue a license for a wine festival to
186+a manufacturer of wine licensed by the board manufacturing at
187+least 500 gallons of table wine in this state annually; a
188+retailer; an organization comprised entirely of grape growers,
189+wineries, or grape growers and wineries; a municipality; a
190+county; or an incorporated arts council, main street program,
191+501(c) organization, other nonprofit organization as that term
192+is defined by rule of the board, or downtown development
193+entity upon such terms and conditions as the board may
194+prescribe by rule.
195+(2) The wine festival license shall authorize the
196+licensee to host a festival at which wine festival participant
197+licensees may dispense tastings and sell at retail to
191198 individuals physically present at the festival for on-premises
192-consumption or off-premises consumption and for personal use
193-and not for resale, subject to subsection (e).
194-(3) Because the applicant for a wine festival
195-participant license is already a licensee of the board at the
196-time of application, the board shall only require submission
197-of all of the following information:
199+or off-premises consumption and for personal use and not for
200+resale, subject to subsection (e).
201+(3) If the applicant for a wine festival license is
202+currently a licensee of the board at the time of application,
203+the board shall only require submission of all of the
204+following information:
198205 a. The name and address of the applicant and photo
199206 identification.
200207 b. The start and end dates of the festival.
201-c. A description of the wine festival location.
202-d. If the host licensee for the wine festival is a
203-501(c)(3) organization or other nonprofit organization as
204-described in subdivision (b)(1), a written certification from
205-the applicant that a majority of the net proceeds from the
206-applicant's sales at the festival shall go to the nonprofit
207-organization.
208-(4) The board shall not require any of the following:
209-a. That the applicant submit the application to the
210-board in person.
211-b. A certificate showing that the applicant has
212-purchased a liquor liability insurance policy for the wine
208+c. A description of the wine festival location. If the
209+applicant does not own or control the wine festival location,
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242-festival in a case where the applicant submits one of the
243-following:
244-1. A written statement from the applicant's liquor
245-liability insurer certifying that the applicant's existing
246-liquor liability insurance policy covers the applicant's
247-activities at the wine festival.
248-2. A written statement from the wine festival
249-licensee's liquor liability insurer that the licensee's
250-existing liquor liability insurance policy covers the
251-activities of the host and any wine festival participant
252-licensee at the wine festival who does not currently possess a
253-liquor liability insurance policy.
254-(e)(1) Wine sold at a wine festival for off-premises
255-consumption shall only be sold by a wine festival participant
256-licensee and shall be sealed, labeled, and packaged in
257-accordance with local, state, and federal laws and
258-regulations.
259-(2) A wine festival participant licensee may not sell
260-more than one case of wine to any individual per festival.
261-(3) For purposes of this section, one case of wine
262-means the equivalent of 12 750-milliliter bottles of wine.
263-(f) The sale of wine at any wine festival may not be
264-permitted on any Sunday in a county or municipality that has
265-not authorized alcoholic beverages to be sold on Sunday.
266-(g) If a wine festival is to take place entirely on the
267-premises of the winery that was granted the license to host
268-the wine festival or a winery that is a member of the
269-organization granted the license to host the festival, then
239+then the applicant shall include written permission by the
240+person with ownership or control over the property for the
241+wine festival licensee and any wine festival participant
242+licensees to use the property for that wine festival.
243+(4) The board shall not require the following:
244+a. That the applicant submit the application to the
245+board in person.
246+b. That the applicant certify that a liquor liability
247+insurance policy providing coverage for the applicant for the
248+wine festival has been purchased where the applicant submits a
249+written statement from the liquor liability insurer that the
250+applicant's existing liquor liability insurance policy covers
251+the applicant's activities at the wine festival.
252+(c) A wine festival licensed under this section may not
253+operate for more than five consecutive days.
254+(d)(1) Upon application made on a form provided by the
255+board at least 15 days in advance of the event for which a
256+license is sought and accompanied by a fee not to exceed
257+fifteen dollars ($15) ten dollars ($10) , the board shall issue
258+a wine festival participant license to any retailer or any
259+manufacturer of table wine licensed by the board that
260+manufactures at least 500 gallons of table wine in this state
261+annually.
262+(2) A wine festival participant license shall authorize
263+the licensee to dispense tastings and sell at retail to
264+individuals physically present at the festival for on-premises
265+consumption or off-premises consumption and for personal use
266+and not for resale, subject to subsection (e).
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299-the board may not require any fee for the wine festival
300-license or any wine festival participant license relating to
301-that festival.
302-(h)(1) Each wine festival participant licensee
303-participating in a wine festival shall collect and remit all
304-state and local sales and use taxes and all excise and other
305-taxes due on the sale of wine by the licensee to customers at
306-retail.
307-(2) Notwithstanding subdivision (1), a wine festival
308-participant licensee that currently is a retail licensee of
309-the board, or a wine festival participant licensee that
310-currently is a manufacturer licensee of the board which also
311-sells wine at retail, in a method and manner established by
312-the Department of Revenue, may include the collection and
313-remittance of all state taxes due on the sale of wine at the
314-festival in the same method and manner as other sales of wine
315-at retail.
316-(3) Each wine festival participant licensee shall
317-collect all the county and local sales and use taxes due on
318-the sale of wine at the festival and may remit those taxes to
319-the wine festival licensee in a manner and method established
320-by the wine festival licensee. The wine festival licensee
321-shall remit the state and local sales and use taxes to the
322-appropriate governing body within seven days following the
323-conclusion of the wine festival, whether or not the wine
324-festival licensee is exempt from sales tax by law.
325-(4)a. A wine festival licensee shall register with the
326-county governing body, or if applicable, municipal governing
296+(3) Because the applicant for a wine festival
297+participant license is already a licensee of the board at the
298+time of application, the board shall only require submission
299+of all of the following information:
300+a. The name and address of the applicant and photo
301+identification.
302+b. The start and end dates of the festival.
303+c. A description of the wine festival location.
304+d. If the host licensee for the wine festival is a
305+501(c)(3) organization or other nonprofit organization as
306+described in subdivision (b)(1), a written certification from
307+the applicant that a majority of the net proceeds from the
308+applicant's sales at the festival shall go to the nonprofit
309+organization.
310+(4) The board shall not require any of the following:
311+a. That the applicant submit the application to the
312+board in person.
313+b. A certificate showing that the applicant has
314+purchased a liquor liability insurance policy for the wine
315+festival in a case where the applicant submits one of the
316+following:
317+1. A written statement from the applicant's liquor
318+liability insurer certifying that the applicant's existing
319+liquor liability insurance policy covers the applicant's
320+activities at the wine festival.
321+2. A written statement from the wine festival
322+licensee's liquor liability insurer that the licensee's
323+existing liquor liability insurance policy covers the
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356-body, no less than seven days prior to the wine festival. This
357-registration shall include any information necessary to ensure
358-that the proper sales tax is collected and remitted from all
359-sales by each wine festival participant and shall include a
360-list of all wine festival participant licensees for that wine
361-festival with contact information for each licensee. A wine
362-festival licensee shall send notification, in writing, to the
363-county governing body, and if applicable, to the municipal
364-governing body no less than seven days prior to the wine
365-festival. This notification shall include any information
366-necessary to ensure that the proper sales tax is collected and
367-remitted from all sales by each wine festival participant and
368-shall include a list of all current wine festival participant
369-licensees for that wine festival with contact information for
370-each licensee.
371-b. The wine festival licensee shall collect county and
372-local sales and use taxes for sales made by all wine festival
373-participant licensees at a wine festival which have elected to
374-remit taxes through the wine festival licensee pursuant to
375-subdivision (3), whether or not that wine festival licensee is
376-exempt from sales tax by law. The wine festival licensee shall
377-remit the sales and use taxes as provided in subdivision (3).
378-c. Each wine festival licensee and wine festival
379-participant licensee shall be subject to audit by the county
380-and municipal governing body of the location at which the wine
381-festival occurs, for the county and local sales tax remitted
382-by or on behalf of that licensee. Each wine festival licensee
383-shall be responsible for any unreported sales or unremitted
353+activities of the host and any wine festival participant
354+licensee at the wine festival who does not currently possess a
355+liquor liability insurance policy.
356+(e)(1) Wine sold at a wine festival for off-premises
357+consumption shall only be sold by a wine festival participant
358+licensee and shall be sealed, labeled, and packaged in
359+accordance with local, state, and federal laws and
360+regulations.
361+(2) A wine festival participant licensee may not sell
362+more than one case of wine to any individual per festival.
363+(3) For purposes of this section, one case of wine
364+means the equivalent of 12 750-milliliter bottles of wine.
365+(f) The sale of wine at any wine festival may not be
366+permitted on any Sunday in a county or municipality that has
367+not authorized alcoholic beverages to be sold on Sunday.
368+(g) If a wine festival is to take place entirely on the
369+premises of the winery that was granted the license to host
370+the wine festival or a winery that is a member of the
371+organization granted the license to host the festival, then
372+the board may not require any fee for the wine festival
373+license or any wine festival participant license relating to
374+that festival.
375+(h)(1) Each wine festival participant licensee
376+participating in a wine festival shall collect and remit all
377+state and local sales and use taxes and all excise and other
378+taxes due on the sale of wine by the licensee to customers at
379+retail.
380+(2) Notwithstanding subdivision (1), a wine festival
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413-sales tax, including unreported or unremitted sales tax
414-related to the failure of that licensee to fully remit and
415-record any sale during the wine festival. Failure to remit
416-sales tax pursuant to this section shall be enforced pursuant
417-to Chapter 23 of Title 40.
418-(i) The board may not limit or prohibit the serving or
419-featuring of food at a licensed wine festival, provided that
420-the person serving or featuring food complies with all
421-applicable laws and rules.
422-(j) A wine festival participant licensee shall not be
423-required to apply for or purchase any county or municipal
424-business license or alcoholic beverage license in order to
425-participate in a wine festival pursuant to this section;
426-provided, that the wine festival licensee for that wine
427-festival is in compliance with paragraph (h)(4)a.
428-(j)(k) For purposes of this section, "retailer" means a
429-retailer licensed for off-premises consumption of table wine.
430-(k)(l) The board may adopt rules to implement this
431-section, including, but not limited to, rules regarding the
432-liability of a wine festival participant licensee.
433-(l)(m) If any provision of this section or its
434-application to any person or circumstance is determined by a
435-court to be invalid or unconstitutional, that provision shall
436-be stricken and the remaining provisions shall be construed in
437-accordance with the intent of the Legislature to further
438-limit, rather than expand, commerce in alcoholic beverages,
439-including by prohibiting any commerce in alcoholic beverages
440-not expressly authorized, and to enhance strict regulatory
410+participant licensee that currently is a retail licensee of
411+the board, or a wine festival participant licensee that
412+currently is a manufacturer licensee of the board which also
413+sells wine at retail, in a method and manner established by
414+the Department of Revenue, may include the collection and
415+remittance of all state taxes due on the sale of wine at the
416+festival in the same method and manner as other sales of wine
417+at retail.
418+(3) Each wine festival participant licensee shall
419+collect all the county and local sales and use taxes due on
420+the sale of wine at the festival and may remit those taxes to
421+the wine festival licensee in a manner and method established
422+by the wine festival licensee. The wine festival licensee
423+shall remit the state and local sales and use taxes to the
424+appropriate governing body within seven days following the
425+conclusion of the wine festival, whether or not the wine
426+festival licensee is exempt from sales tax by law.
427+(4)a. A wine festival licensee shall register with the
428+county governing body, or if applicable, municipal governing
429+body, no less than seven days prior to the wine festival. This
430+registration shall include any information necessary to ensure
431+that the proper sales tax is collected and remitted from all
432+sales by each wine festival participant and shall include a
433+list of all wine festival participant licensees for that wine
434+festival with contact information for each licensee.
435+b. The wine festival licensee shall collect county and
436+local sales and use taxes for sales made by all wine festival
437+participant licensees at a wine festival which have elected to
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470-control over taxation, distribution, and sale of alcoholic
471-beverages through the existing uniform system of regulation of
472-alcoholic beverages."
473-"§28-6A-2
474-(a)(1) For the purposes of this section, the term
475-"table wine" includes mead.
476-(2) For the purposes of this section, a "small farm
477-winery" means a manufacturer of table wine licensed by the
478-Alcoholic Beverage Control Board, which produces fewer than
479-50,000 gallons of table wine per year, and meets one of the
480-following criteria:
481-a. Produces at least 50 percent of its total production
482-of table wine from fruit that is grown , or honey that is
483-harvested, in this state.
484-b. Produces all of its total production of table wine
485-within this state and owns not less than eight acres of
486-vineyards in this state.
487-(2)(3) For the purposes of this section, table wine
488-that has been produced by a manufacturer, or a subsidiary or
489-affiliate or other related entity of the manufacturer, and
490-table wine produced exclusively for the winery by another
491-manufacturer shall be considered to be produced by the winery
492-and shall be included in the 50,000 gallon limit provided in
493-subdivision (1)(2).
494-(b) A catastrophic loss to produce grown in this state,
495-including, but not limited to, one caused by drought or frost,
496-may not disqualify a small farm winery if the winery qualified
497-as a small farm winery prior to the catastrophic loss.
467+remit taxes through the wine festival licensee pursuant to
468+subdivision (3), whether or not that wine festival licensee is
469+exempt from sales tax by law. The wine festival licensee shall
470+remit the sales and use taxes as provided in subdivision (3).
471+c. Each wine festival licensee and wine festival
472+participant licensee shall be subject to audit by the county
473+and municipal governing body of the location at which the wine
474+festival occurs, for the county and local sales tax remitted
475+by or on behalf of that licensee. Each wine festival licensee
476+shall be responsible for any unreported sales or unremitted
477+sales tax, including unreported or unremitted sales tax
478+related to the failure of that licensee to fully remit and
479+record any sale during the wine festival. Failure to remit
480+sales tax pursuant to this section shall be enforced pursuant
481+to Chapter 23 of Title 40.
482+(i) The board may not limit or prohibit the serving or
483+featuring of food at a licensed wine festival, provided that
484+the person serving or featuring food complies with all
485+applicable laws and rules.
486+(j) A wine festival participant licensee shall not be
487+required to apply for or purchase any county or municipal
488+business license or alcoholic beverage license in order to
489+participate in a wine festival pursuant to this section;
490+provided, that the wine festival licensee for that wine
491+festival is in compliance with paragraph (h)(4)a.
492+(j)(k) For purposes of this section, "retailer" means a
493+retailer licensed for off-premises consumption of table wine.
494+(k)(l) The board may adopt rules to implement this
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527-(c) Notwithstanding any provision of this title to the
528-contrary, a small farm winery may do all of the following:
529-(1) Sell its table wines produced on its licensed
530-premises directly from its licensed premises at retail to
531-consumers physically present at the licensed premises, either
532-for on-premises or off-premises consumption, for personal use
533-and not for resale; provided, the winery collects and remits
534-all state and local sales or use taxes and excise taxes due on
535-the sale of table wine to consumers, packages and labels the
536-wine in accordance with state and federal law, and reports its
537-annual production of table wine to the board.
538-(2)a. Either of the following, provided that
539-transportation of wine under this subdivision is made by the
540-winery's employees in a vehicle owned or leased by the winery:
541-1. Sell and transport up to 10,000 gallons of its table
542-wine produced on its licensed premises directly to licensed
543-retailers each year.
544-2. Sell and transport up to 20,000 gallons of its table
545-wine produced on its licensed premises directly to licensed
546-retailers each year, if the winery provides to the board proof
547-that the winery's table wine has been declined to be
548-distributed by two separate wholesalers of table wine. If the
549-winery's table wine has been accepted for distribution by any
550-wholesaler of table wine, then the winery may not sell its
551-table wine directly to retailers under this paragraph.
552-b. For purposes of this subdivision, retailers include
553-those that are licensed by the board for on-premises
554-consumption, for off-premises consumption, or for both.
524+section, including, but not limited to, rules regarding the
525+liability of a wine festival participant licensee.
526+(l)(m) If any provision of this section or its
527+application to any person or circumstance is determined by a
528+court to be invalid or unconstitutional, that provision shall
529+be stricken and the remaining provisions shall be construed in
530+accordance with the intent of the Legislature to further
531+limit, rather than expand, commerce in alcoholic beverages,
532+including by prohibiting any commerce in alcoholic beverages
533+not expressly authorized, and to enhance strict regulatory
534+control over taxation, distribution, and sale of alcoholic
535+beverages through the existing uniform system of regulation of
536+alcoholic beverages."
537+"§28-6A-2
538+(a)(1) For the purposes of this section, the term
539+"table wine" includes mead.
540+(2) For the purposes of this section, a "small farm
541+winery" means a manufacturer of table wine licensed by the
542+Alcoholic Beverage Control Board, which produces fewer than
543+50,000 gallons of table wine per year, and meets one of the
544+following criteria:
545+a. Produces at least 50 percent of its total production
546+of table wine from fruit that is grown , or honey that is
547+harvested, in this state.
548+b. Produces all of its total production of table wine
549+within this state and owns not less than eight acres of
550+vineyards in this state.
551+(2)(3) For the purposes of this section, table wine
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584-c. If a winery sells and transports 20,000 total
585-gallons of table wine directly to retailers as provided in
586-this subdivision in any one year, that winery may not
587-subsequently sell and transport table wine directly to
588-retailers under this subdivision.
589-d. Notwithstanding any other provision of this section
590-to the contrary, a small farm winery may only sell and
591-transport table wine that has been approved by the board for
592-sale within the state and for which the small farm winery owns
593-the Certificate of Label Approval issued by the Alcohol and
594-Tobacco Tax and Trade Bureau.
595-(d) A county or a municipality may not require a small
596-farm winery to pay any fees, including business licensure
597-fees, to make sales or deliveries under this section, or any
598-additional local tax other than the tax described in
599-subdivision (c)(1).
600-(e)(1) A small farm winery shall maintain records
601-verifying that the winery meets the qualifications under this
602-section, and shall provide those records to the board upon
603-request.
604-(2) A small farm winery shall report to the board each
605-month the amount of table wine sold directly to each licensed
606-retailer under this section.
607-(f) The board shall adopt rules to implement this
608-section."
609-"§28-7-10.1
610-(a) Upon an applicant's compliance with this section
611-and the rules adopted pursuant to this section, the board may
581+that has been produced by a manufacturer, or a subsidiary or
582+affiliate or other related entity of the manufacturer, and
583+table wine produced exclusively for the winery by another
584+manufacturer shall be considered to be produced by the winery
585+and shall be included in the 50,000 gallon limit provided in
586+subdivision (1)(2).
587+(b) A catastrophic loss to produce grown in this state,
588+including, but not limited to, one caused by drought or frost,
589+may not disqualify a small farm winery if the winery qualified
590+as a small farm winery prior to the catastrophic loss.
591+(c) Notwithstanding any provision of this title to the
592+contrary, a small farm winery may do all of the following:
593+(1) Sell its table wines produced on its licensed
594+premises directly from its licensed premises at retail to
595+consumers physically present at the licensed premises, either
596+for on-premises or off-premises consumption, for personal use
597+and not for resale; provided, the winery collects and remits
598+all state and local sales or use taxes and excise taxes due on
599+the sale of table wine to consumers, packages and labels the
600+wine in accordance with state and federal law, and reports its
601+annual production of table wine to the board.
602+(2)a. Either of the following, provided that
603+transportation of wine under this subdivision is made by the
604+winery's employees in a vehicle owned or leased by the winery:
605+1. Sell and transport up to 10,000 gallons of its table
606+wine produced on its licensed premises directly to licensed
607+retailers each year.
608+2. Sell and transport up to 20,000 gallons of its table
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640637 Page 12
641-issue a wine manufacturer license to the applicant which shall
642-authorize the licensee to manufacture or otherwise distill,
643-produce, ferment, bottle, or compound wine in a dry county
644-only for the sale for distribution outside of the county. No
645-person shall manufacture or otherwise distill, produce,
646-ferment, bottle, or compound wine in a dry county for sale or
647-distribution unless the person or the authorized
648-representative of the person has been granted a wine
649-manufacturer license issued by the board pursuant to this
650-section.
651-(b) A wine manufacturer licensed under this section is
652-prohibited from doing any of the following:
653-(1) Selling any wine direct to any retailer or for
654-consumption on the premises where sold or dispensing any
655-tastings for consumption on its licensed premises .
656-(2) Selling or delivering any wine in other than
657-original containers approved as to capacity by the board and
658-in accordance with standards of fill prescribed by the U.S.
659-Treasury Department.
660-(3) Maintaining or operating within the state any place
661-or places, other than the place or places covered by the wine
662-manufacturer license.
663-(c) Any wine manufactured in the dry county by the
664-manufacturer licensed pursuant to this section may be sold
665-only for shipment and delivery to a licensed wine
666-distributorwholesaler in this state or to a legal distributor
667-outside of this state ., except that the manufacturer may use
668-its employees to sell and transport wine directly to retail
638+wine produced on its licensed premises directly to licensed
639+retailers each year, if the winery provides to the board proof
640+that the winery's table wine has been declined to be
641+distributed by two separate wholesalers of table wine. If the
642+winery's table wine has been accepted for distribution by any
643+wholesaler of table wine, then the winery may not sell its
644+table wine directly to retailers under this paragraph.
645+b. For purposes of this subdivision, retailers include
646+those that are licensed by the board for on-premises
647+consumption, for off-premises consumption, or for both.
648+c. If a winery sells and transports 20,000 total
649+gallons of table wine directly to retailers as provided in
650+this subdivision in any one year, that winery may not
651+subsequently sell and transport table wine directly to
652+retailers under this subdivision.
653+d. Notwithstanding any other provision of this section
654+to the contrary, a small farm winery may only sell and
655+transport table wine that has been approved by the board for
656+sale within the state and for which the small farm winery owns
657+the Certificate of Label Approval issued by the Alcohol and
658+Tobacco Tax and Trade Bureau.
659+(d) A county or a municipality may not require a small
660+farm winery to pay any fees, including business licensure
661+fees, to make sales or deliveries under this section, or any
662+additional local tax other than the tax described in
663+subdivision (c)(1).
664+(e)(1) A small farm winery shall maintain records
665+verifying that the winery meets the qualifications under this
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697694 Page 13
698-licensees of the board in a vehicle owned or leased by the
699-manufacturer subject to the following limits:
700-(1) No more than 10,000 gallons produced on its
701-licensed premises each year.
702-(2) No more than 20,000 gallons produced on its
703-licensed premises each year if the manufacturer provides to
704-the board proof that its wine has been declined to be
705-distributed by two licensed wine wholesalers. If the
706-manufacturer's wine has been accepted for distribution by any
707-licensed wine wholesaler, it may not sell and transport its
708-wine directly to retailers under this subdivision.
709-(d) A wine manufacturer licensee licensed pursuant to
710-this section shall be required to file with the board, prior
711-to making any sales, a list of its labels to be sold and shall
712-file with the board its federal certificate of label approvals
713-or its certificates of exemption as required by the U.S.
714-Treasury Department. All wines whose labels have not been
715-registered as herein provided shall be considered contraband
716-and may be seized by the board or its agents, or any peace
717-officer of the state without a warrant and the goods shall be
718-delivered to the board and disposed of as provided by law.
719-(e) A wine manufacturer licensee licensed pursuant to
720-this section shall be required to send to the board, prior to
721-the twentieth day of each month, a consolidated report of all
722-shipments of alcoholic beverages made to each licensed
723-wholesaler or licensed retailer during the preceding month.
724-The reports shall be in the form and shall contain the
725-information as the board may require.
695+section, and shall provide those records to the board upon
696+request.
697+(2) A small farm winery shall report to the board each
698+month the amount of table wine sold directly to each licensed
699+retailer under this section.
700+(f) The board shall adopt rules to implement this
701+section."
702+"§28-7-10.1
703+(a) Upon an applicant's compliance with this section
704+and the rules adopted pursuant to this section, the board may
705+issue a wine manufacturer license to the applicant which shall
706+authorize the licensee to manufacture or otherwise distill,
707+produce, ferment, bottle, or compound wine in a dry county
708+only for the sale for distribution outside of the county. No
709+person shall manufacture or otherwise distill, produce,
710+ferment, bottle, or compound wine in a dry county for sale or
711+distribution unless the person or the authorized
712+representative of the person has been granted a wine
713+manufacturer license issued by the board pursuant to this
714+section.
715+(b) A wine manufacturer licensed under this section is
716+prohibited from doing any of the following:
717+(1) Selling any wine direct to any retailer or for
718+consumption on the premises where sold or dispensing any
719+tastings for consumption on its licensed premises .
720+(2) Selling or delivering any wine in other than
721+original containers approved as to capacity by the board and
722+in accordance with standards of fill prescribed by the U.S.
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754751 Page 14
755-(f) Every wine manufacturer licensed pursuant to this
756-section shall keep at its principal place of business within
757-the state, daily permanent records which shall show the
758-quantities of raw materials used in the manufacture of wine,
759-and the quantities of wine manufactured and stored, the sale
760-of wine, the quantities of wine stored for hire or transported
761-for hire by or for the licensee, and the names and addresses
762-of the purchasers of the wine.
763-(g) Every place licensed as a wine manufacturer
764-pursuant to this section shall be subject to inspection by the
765-board or by persons duly authorized and designated by the
766-board at any time of the day or night as they may deem
767-necessary, for the detection of violations of this chapter, of
768-any law, or of the rules of the board, or for the purpose of
769-ascertaining the correctness of the records required to be
770-kept by the licensees. The books and records of licensees
771-shall be open for inspection at all times by the board or by
772-persons duly authorized and designated by the board. Members
773-of the board and its duly authorized agents, without
774-hindrance, may enter any place that is subject to inspection
775-hereunder or any place where records are kept for the purpose
776-of making inspections and making transcripts thereof.
777-(h) Where otherwise lawful, a manufacturer licensed
778-under this section may qualify with the board as the host of
779-or as a participant in a wine festival located in a wet
780-municipality in the county of its licensed premises or outside
781-the county of its licensed premises pursuant to Section
782-28-3A-20.4.
752+Treasury Department.
753+(3) Maintaining or operating within the state any place
754+or places, other than the place or places covered by the wine
755+manufacturer license.
756+(c) Any wine manufactured in the dry county by the
757+manufacturer licensed pursuant to this section may be sold
758+only for shipment and delivery to a licensed wine
759+distributorwholesaler in this state or to a legal distributor
760+outside of this state ., except that the manufacturer may use
761+its employees to sell and transport wine directly to retail
762+licensees of the board in a vehicle owned or leased by the
763+manufacturer subject to the following limits:
764+(1) No more than 10,000 gallons produced on its
765+licensed premises each year.
766+(2) No more than 20,000 gallons produced on its
767+licensed premises each year if the manufacturer provides to
768+the board proof that its wine has been declined to be
769+distributed by two licensed wine wholesalers. If the
770+manufacturer's wine has been accepted for distribution by any
771+licensed wine wholesaler, it may not sell and transport its
772+wine directly to retailers under this subdivision.
773+(d) A wine manufacturer licensee licensed pursuant to
774+this section shall be required to file with the board, prior
775+to making any sales, a list of its labels to be sold and shall
776+file with the board its federal certificate of label approvals
777+or its certificates of exemption as required by the U.S.
778+Treasury Department. All wines whose labels have not been
779+registered as herein provided shall be considered contraband
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811808 Page 15
812-(i) Licenses issued under this section, unless revoked
813-in the manner provided in this chapter, shall be valid for the
814-license year commencing January 1 of each year.
815-(i)(j) The board may adopt rules to implement and
816-administer this section.
817-(j)(k) The provisions of Act 2021-517 are supplemental
818-to any laws regulating alcoholic beverages in this state and
819-shall not be construed to repeal or supersede any laws or
820-rules of the Alcoholic Beverage Control Board not in direct
821-conflict with Act 2021-517."
822-"§28-7-16
823-(a) Levy. There is hereby levied in addition to the
824-license taxes provided for by this chapter and municipal and
825-county license taxes and in addition to any marked-up price
826-made by the board on wine sold by the board a privilege or
827-excise tax measured by and graduated in accordance with the
828-volume of sales of table wine containing not more than sixteen
829-and one-half percent alcohol by volume and shall be an amount
830-equal to forty-five cents ($.45) per liter of table wine
831-containing not more than sixteen and one-half percent alcohol
832-by volume sold to the wholesale licensee or board, to be
833-collected from the purchaser by the board or by a licensed
834-retailer.
835-(b) Collection, Monthly Return, Remittance, Right to
836-Examine Books and Records.
837-(1) The tax levied by subsection (a) shall be added to
838-the sales price of all table wine containing not more than
839-sixteen and one-half percent alcohol by volume sold and shall
809+and may be seized by the board or its agents, or any peace
810+officer of the state without a warrant and the goods shall be
811+delivered to the board and disposed of as provided by law.
812+(e) A wine manufacturer licensee licensed pursuant to
813+this section shall be required to send to the board, prior to
814+the twentieth day of each month, a consolidated report of all
815+shipments of alcoholic beverages made to each licensed
816+wholesaler or licensed retailer during the preceding month.
817+The reports shall be in the form and shall contain the
818+information as the board may require.
819+(f) Every wine manufacturer licensed pursuant to this
820+section shall keep at its principal place of business within
821+the state, daily permanent records which shall show the
822+quantities of raw materials used in the manufacture of wine,
823+and the quantities of wine manufactured and stored, the sale
824+of wine, the quantities of wine stored for hire or transported
825+for hire by or for the licensee, and the names and addresses
826+of the purchasers of the wine.
827+(g) Every place licensed as a wine manufacturer
828+pursuant to this section shall be subject to inspection by the
829+board or by persons duly authorized and designated by the
830+board at any time of the day or night as they may deem
831+necessary, for the detection of violations of this chapter, of
832+any law, or of the rules of the board, or for the purpose of
833+ascertaining the correctness of the records required to be
834+kept by the licensees. The books and records of licensees
835+shall be open for inspection at all times by the board or by
836+persons duly authorized and designated by the board. Members
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868865 Page 16
869-be collected from the purchasers. The tax shall be collected
870-in the first instance from the wholesaler where table wine
871-containing not more than sixteen and one-half percent alcohol
872-by volume is sold or handled by wholesale licensees, and by
873-the board from whomever makes sales when table wine containing
874-not more than sixteen and one-half percent alcohol by volume
875-is sold by the board. It shall be unlawful for any person who
876-is required to pay the tax in the first instance to fail or
877-refuse to add to the sales price and collect from the
878-purchaser the required amount of tax, it being the intent and
879-purpose of this provision that the tax levied is in fact a
880-levy on the consumer. The person who pays the tax in the first
881-instance is acting as an agent of the state for the collection
882-and payment of the tax and as such may not collect a tax on
883-table wine containing not more than sixteen and one-half
884-percent alcohol by volume for any other level of government.
885-(2) The tax hereby levied shall be collected by a
886-monthly return, which shall be filed by the wholesale
887-licensees as follows: A monthly return filed with the board
888-not later than the 15th day of the second month following the
889-month of receipt of table wine containing not more than
890-sixteen and one-half percent alcohol by volume by the
891-wholesaler on a form prescribed by the board showing receipts
892-by the wholesalers from manufacturer, importer, or other
893-wholesaler licensees during the month of receipt and the taxes
894-due thereon at the rate of thirty-eight cents ($.38) per liter
895-of table wine containing not more than sixteen and one-half
896-percent alcohol by volume sold to the wholesale licensee or
866+of the board and its duly authorized agents, without
867+hindrance, may enter any place that is subject to inspection
868+hereunder or any place where records are kept for the purpose
869+of making inspections and making transcripts thereof.
870+(h) Where otherwise lawful, a manufacturer licensed
871+under this section may qualify with the board as the host of
872+or as a participant in a wine festival located in a wet
873+municipality in the county of its licensed premises or outside
874+the county of its licensed premises pursuant to Section
875+28-3A-20.4.
876+(i) Licenses issued under this section, unless revoked
877+in the manner provided in this chapter, shall be valid for the
878+license year commencing January 1 of each year.
879+(i)(j) The board may adopt rules to implement and
880+administer this section.
881+(j)(k) The provisions of Act 2021-517 are supplemental
882+to any laws regulating alcoholic beverages in this state and
883+shall not be construed to repeal or supersede any laws or
884+rules of the Alcoholic Beverage Control Board not in direct
885+conflict with Act 2021-517."
886+"§28-7-16
887+(a) Levy. There is hereby levied in addition to the
888+license taxes provided for by this chapter and municipal and
889+county license taxes and in addition to any marked-up price
890+made by the board on wine sold by the board a privilege or
891+excise tax measured by and graduated in accordance with the
892+volume of sales of table wine containing not more than sixteen
893+and one-half percent alcohol by volume and shall be an amount
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926-board; the taxes due at such rate shall be remitted to the
927-board along with the return; a monthly return filed with the
928-county or municipality within which the wine is sold at retail
929-filed not later than the 15th day of each month showing sales
930-by wholesalers during the preceding month and the county or
931-municipality in which sold and the taxes due thereon at the
932-rate of seven cents ($.07) per liter of table wine containing
923+equal to forty-five cents ($.45) per liter of table wine
924+containing not more than sixteen and one-half percent alcohol
925+by volume sold to the wholesale licensee or board, to be
926+collected from the purchaser by the board or by a licensed
927+retailer.
928+(b) Collection, Monthly Return, Remittance, Right to
929+Examine Books and Records.
930+(1) The tax levied by subsection (a) shall be added to
931+the sales price of all table wine containing not more than
932+sixteen and one-half percent alcohol by volume sold and shall
933+be collected from the purchasers. The tax shall be collected
934+in the first instance from the wholesaler where table wine
935+containing not more than sixteen and one-half percent alcohol
936+by volume is sold or handled by wholesale licensees, and by
937+the board from whomever makes sales when table wine containing
933938 not more than sixteen and one-half percent alcohol by volume
934-sold; and the taxes due at such rate shall be remitted to the
935-county or municipality along with the return.
936-(3) The tax hereby levied shall be collected by the
937-board on the table wine containing not more than sixteen and
938-one-half percent alcohol by volume sold by the board and shall
939-be paid as follows: Taxes at the rate of thirty-eight cents
940-($.38) per liter of table wine containing not more than
941-sixteen and one-half percent alcohol by volume sold shall be
942-remitted by the board to the State Treasurer and taxes at the
943-rate of seven cents ($.07) per liter of table wine containing
944-not more than sixteen and one-half percent alcohol by volume
945-sold shall be remitted by the board to the county or
946-municipality within which the wine was sold at retail not
947-later than the last day of the month following the month of
948-sale, as set forth in subsection (c).
949-(4) The board and the governing body of each county and
950-municipality served by the wholesaler shall have the authority
951-to examine the books and records of any person who sells,
952-stores, or receives for the purpose of distribution any table
953-wine, containing not more than sixteen and one-half percent
939+is sold by the board. It shall be unlawful for any person who
940+is required to pay the tax in the first instance to fail or
941+refuse to add to the sales price and collect from the
942+purchaser the required amount of tax, it being the intent and
943+purpose of this provision that the tax levied is in fact a
944+levy on the consumer. The person who pays the tax in the first
945+instance is acting as an agent of the state for the collection
946+and payment of the tax and as such may not collect a tax on
947+table wine containing not more than sixteen and one-half
948+percent alcohol by volume for any other level of government.
949+(2) The tax hereby levied shall be collected by a
950+monthly return, which shall be filed by the wholesale
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983-alcohol by volume to determine the accuracy of any return
984-required to be filed with it.
985-(c) Disposition of proceeds. The proceeds of the tax
986-levied by subsection (a) shall be paid and distributed as
987-follows:
988-(1) Thirty-eight cents ($.38) per liter of table wine
989-containing not more than sixteen and one-half percent alcohol
990-by volume sold shall be collected by the board on its sales or
991-paid to the board by wholesale licensees on their sales, and
992-by the board paid to the State Treasurer to be credited as net
993-profits from operation of the board to be distributed as
994-provided by law.
995-(2) Seven cents ($.07) per liter of table wine
996-containing not more than sixteen and one-half percent alcohol
997-by volume sold shall be paid by the board on its sales or by
998-wholesale licensees on their sales, either into the treasury
999-of the municipality in which the table wine was sold at retail
1000-within its corporate limits, or, where sold outside the
1001-corporate limits of any municipality, into the treasury of the
1002-county in which the table wine was sold at retail.
1003-(d) There is hereby levied in addition to the license
1004-taxes provided for by this chapter and municipal and county
1005-license taxes and in addition to any marked-up price made by
1006-the board on wine sold by the board a privilege or excise tax
1007-measured by and graduated in accordance with the volume of
1008-sales of table wine containing more than sixteen and one-half
1009-percent alcohol by volume. The tax shall be an amount equal to
1010-two dollars and forty-two cents ($2.42) per liter of table
980+licensees as follows: A monthly return filed with the board
981+not later than the 15th day of the second month following the
982+month of receipt of table wine containing not more than
983+sixteen and one-half percent alcohol by volume by the
984+wholesaler on a form prescribed by the board showing receipts
985+by the wholesalers from manufacturer, importer, or other
986+wholesaler licensees during the month of receipt and the taxes
987+due thereon at the rate of thirty-eight cents ($.38) per liter
988+of table wine containing not more than sixteen and one-half
989+percent alcohol by volume sold to the wholesale licensee or
990+board; the taxes due at such rate shall be remitted to the
991+board along with the return; a monthly return filed with the
992+county or municipality within which the wine is sold at retail
993+filed not later than the 15th day of each month showing sales
994+by wholesalers during the preceding month and the county or
995+municipality in which sold and the taxes due thereon at the
996+rate of seven cents ($.07) per liter of table wine containing
997+not more than sixteen and one-half percent alcohol by volume
998+sold; and the taxes due at such rate shall be remitted to the
999+county or municipality along with the return.
1000+(3) The tax hereby levied shall be collected by the
1001+board on the table wine containing not more than sixteen and
1002+one-half percent alcohol by volume sold by the board and shall
1003+be paid as follows: Taxes at the rate of thirty-eight cents
1004+($.38) per liter of table wine containing not more than
1005+sixteen and one-half percent alcohol by volume sold shall be
1006+remitted by the board to the State Treasurer and taxes at the
1007+rate of seven cents ($.07) per liter of table wine containing
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10391036 Page 19
1040-wine containing more than sixteen and one-half percent alcohol
1041-by volume sold to the wholesale licensee or board, to be
1042-collected from the purchaser by the board or by a licensed
1043-retailer.
1044-(e) Collection, Monthly Return, Remittance, Right to
1045-Examine Books and Records.
1046-(1) The tax levied by subsection (d) shall be added to
1047-the sales price of all table wine containing more than sixteen
1048-and one-half percent alcohol by volume sold and shall be
1049-collected from the purchasers. The tax shall be collected in
1050-the first instance from the wholesaler where table wine
1051-containing more than sixteen and one-half percent alcohol by
1052-volume is sold or handled by wholesale licensees, and by the
1053-board from whomever makes sales when table wine containing
1054-more than sixteen and one-half percent alcohol by volume is
1055-sold by the board. It shall be unlawful for any person who is
1056-required to pay the tax in the first instance to fail or
1057-refuse to add to the sales price and collect from the
1058-purchaser the required amount of tax, it being the intent and
1059-purpose of this provision that the tax levied is in fact a
1060-levy on the consumer. The person who pays the tax in the first
1061-instance is acting as an agent of the state for the collection
1062-and payment of the tax and as such may not collect a tax on
1063-table wine containing more than sixteen and one-half percent
1064-alcohol by volume for any other level of government.
1065-(2) The tax levied in subsection (d) shall be collected
1066-by a monthly return, which shall be filed by the wholesale
1067-licensees with the board not later than the 15th day of the
1037+not more than sixteen and one-half percent alcohol by volume
1038+sold shall be remitted by the board to the county or
1039+municipality within which the wine was sold at retail not
1040+later than the last day of the month following the month of
1041+sale, as set forth in subsection (c).
1042+(4) The board and the governing body of each county and
1043+municipality served by the wholesaler shall have the authority
1044+to examine the books and records of any person who sells,
1045+stores, or receives for the purpose of distribution any table
1046+wine, containing not more than sixteen and one-half percent
1047+alcohol by volume to determine the accuracy of any return
1048+required to be filed with it.
1049+(c) Disposition of proceeds. The proceeds of the tax
1050+levied by subsection (a) shall be paid and distributed as
1051+follows:
1052+(1) Thirty-eight cents ($.38) per liter of table wine
1053+containing not more than sixteen and one-half percent alcohol
1054+by volume sold shall be collected by the board on its sales or
1055+paid to the board by wholesale licensees on their sales, and
1056+by the board paid to the State Treasurer to be credited as net
1057+profits from operation of the board to be distributed as
1058+provided by law.
1059+(2) Seven cents ($.07) per liter of table wine
1060+containing not more than sixteen and one-half percent alcohol
1061+by volume sold shall be paid by the board on its sales or by
1062+wholesale licensees on their sales, either into the treasury
1063+of the municipality in which the table wine was sold at retail
1064+within its corporate limits, or, where sold outside the
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10961093 Page 20
1097-second month following the month of receipt of table wine
1094+corporate limits of any municipality, into the treasury of the
1095+county in which the table wine was sold at retail.
1096+(d) There is hereby levied in addition to the license
1097+taxes provided for by this chapter and municipal and county
1098+license taxes and in addition to any marked-up price made by
1099+the board on wine sold by the board a privilege or excise tax
1100+measured by and graduated in accordance with the volume of
1101+sales of table wine containing more than sixteen and one-half
1102+percent alcohol by volume. The tax shall be an amount equal to
1103+two dollars and forty-two cents ($2.42) per liter of table
1104+wine containing more than sixteen and one-half percent alcohol
1105+by volume sold to the wholesale licensee or board, to be
1106+collected from the purchaser by the board or by a licensed
1107+retailer.
1108+(e) Collection, Monthly Return, Remittance, Right to
1109+Examine Books and Records.
1110+(1) The tax levied by subsection (d) shall be added to
1111+the sales price of all table wine containing more than sixteen
1112+and one-half percent alcohol by volume sold and shall be
1113+collected from the purchasers. The tax shall be collected in
1114+the first instance from the wholesaler where table wine
10981115 containing more than sixteen and one-half percent alcohol by
1099-volume by the wholesaler on a form prescribed by the board
1100-showing receipts by the wholesalers from manufacturer,
1101-importer, or other wholesaler licensees during the month of
1102-receipt and the taxes due thereon at the rate of two dollars
1103-and forty-two cents ($2.42) per liter of table wine containing
1104-more than sixteen and one-half percent alcohol by volume sold
1105-to the wholesale licensee or board; the taxes due at such rate
1106-shall be remitted to the board along with the return.
1107-(3) The tax levied in subsection (d) shall be collected
1108-by the board on table wine containing more than sixteen and
1109-one-half percent alcohol by volume sold by the board and shall
1110-be paid as follows: Taxes at the rate of two dollars and
1111-forty-two cents ($2.42) per liter of table wine containing
1112-more than sixteen and one-half percent alcohol by volume sold
1113-shall be remitted by the board to the State Treasurer.
1114-(4) The board shall have the authority to examine the
1115-books and records of any person who sells, stores, or receives
1116-for the purpose of distribution any table wine containing more
1117-than sixteen and one-half percent alcohol by volume, to
1118-determine the accuracy of any return required to be filed with
1119-it.
1120-(f) Disposition of proceeds. The proceeds of the tax
1121-levied by subsection (d) shall be paid and distributed as
1122-follows:
1123-(1) Thirty-seven percent to the Alcoholic Beverage
1124-Control Board.
1116+volume is sold or handled by wholesale licensees, and by the
1117+board from whomever makes sales when table wine containing
1118+more than sixteen and one-half percent alcohol by volume is
1119+sold by the board. It shall be unlawful for any person who is
1120+required to pay the tax in the first instance to fail or
1121+refuse to add to the sales price and collect from the
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1149+560 SB285 INTRODUCEDSB285 INTRODUCED
11531150 Page 21
1154-(2) Thirty-four percent to the State General Fund.
1155-(3) Twenty and eight-tenths percent to the Department
1156-of Human Resources.
1157-(4) Eight and two-tenths percent to the Department of
1158-Mental Health.
1159-(g) Mead shall be taxed at the same rate as table wine
1160-as follows:
1161-(1) Mead containing not more than sixteen and one-half
1162-percent of alcohol by volume shall be taxed pursuant to
1163-subsection (a).
1164-(2) Mead containing more than sixteen and one-half
1165-percent and not more than eighteen percent alcohol by volume
1166-shall be taxed pursuant to subsection (d).
1167-(g)(h) Taxes exclusive. The taxes herein levied are
1168-exclusive and shall be in lieu of all other and additional
1169-taxes and licenses of the state, county, or municipality,
1170-imposed on or measured by the sale or volume of sale of table
1171-wine; provided, that nothing herein contained shall be
1172-construed to exempt the retail sale of table wine from the
1173-levy of tax on general retail sales by the state, county, or
1174-municipality in the nature of, or in lieu of, a general sales
1175-tax.
1176-(h)(i) Trade between wholesalers exempt. The taxes
1177-levied by subsections (a) and (d) shall not be imposed upon
1178-the sale, trade, or barter of table wine by one licensed
1179-wholesaler to another wholesaler licensed to sell and handle
1180-table wine in this state, which transaction is hereby made
1181-exempt from the tax; provided, however, the board may require
1151+purchaser the required amount of tax, it being the intent and
1152+purpose of this provision that the tax levied is in fact a
1153+levy on the consumer. The person who pays the tax in the first
1154+instance is acting as an agent of the state for the collection
1155+and payment of the tax and as such may not collect a tax on
1156+table wine containing more than sixteen and one-half percent
1157+alcohol by volume for any other level of government.
1158+(2) The tax levied in subsection (d) shall be collected
1159+by a monthly return, which shall be filed by the wholesale
1160+licensees with the board not later than the 15th day of the
1161+second month following the month of receipt of table wine
1162+containing more than sixteen and one-half percent alcohol by
1163+volume by the wholesaler on a form prescribed by the board
1164+showing receipts by the wholesalers from manufacturer,
1165+importer, or other wholesaler licensees during the month of
1166+receipt and the taxes due thereon at the rate of two dollars
1167+and forty-two cents ($2.42) per liter of table wine containing
1168+more than sixteen and one-half percent alcohol by volume sold
1169+to the wholesale licensee or board; the taxes due at such rate
1170+shall be remitted to the board along with the return.
1171+(3) The tax levied in subsection (d) shall be collected
1172+by the board on table wine containing more than sixteen and
1173+one-half percent alcohol by volume sold by the board and shall
1174+be paid as follows: Taxes at the rate of two dollars and
1175+forty-two cents ($2.42) per liter of table wine containing
1176+more than sixteen and one-half percent alcohol by volume sold
1177+shall be remitted by the board to the State Treasurer.
1178+(4) The board shall have the authority to examine the
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12101207 Page 22
1211-written reporting of any such transaction in the form as the
1212-board may prescribe."
1213-Section 2. This act shall become effective on the first
1214-day of the third month following its passage and approval by
1215-the Governor, or its otherwise becoming law.
1208+books and records of any person who sells, stores, or receives
1209+for the purpose of distribution any table wine containing more
1210+than sixteen and one-half percent alcohol by volume, to
1211+determine the accuracy of any return required to be filed with
1212+it.
1213+(f) Disposition of proceeds. The proceeds of the tax
1214+levied by subsection (d) shall be paid and distributed as
1215+follows:
1216+(1) Thirty-seven percent to the Alcoholic Beverage
1217+Control Board.
1218+(2) Thirty-four percent to the State General Fund.
1219+(3) Twenty and eight-tenths percent to the Department
1220+of Human Resources.
1221+(4) Eight and two-tenths percent to the Department of
1222+Mental Health.
1223+(g) Mead shall be taxed at the same rate as table wine
1224+as follows:
1225+(1) Mead containing not more than sixteen and one-half
1226+percent of alcohol by volume shall be taxed pursuant to
1227+subsection (a).
1228+(2) Mead containing more than sixteen and one-half
1229+percent and not more than eighteen percent alcohol by volume
1230+shall be taxed pursuant to subsection (d).
1231+(g)(h) Taxes exclusive. The taxes herein levied are
1232+exclusive and shall be in lieu of all other and additional
1233+taxes and licenses of the state, county, or municipality,
1234+imposed on or measured by the sale or volume of sale of table
1235+wine; provided, that nothing herein contained shall be
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1222-________________________________________________
1223-President and Presiding Officer of the Senate
1224-________________________________________________
1225-Speaker of the House of Representatives
1226-SB285
1227-Senate 11-May-23
1228-I hereby certify that the within Act originated in and passed
1229-the Senate, as amended.
1230-Patrick Harris,
1231-Secretary.
1232-House of Representatives
1233-Passed: 31-May-23
1234-By: Senator Jones
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1264+Page 23
1265+construed to exempt the retail sale of table wine from the
1266+levy of tax on general retail sales by the state, county, or
1267+municipality in the nature of, or in lieu of, a general sales
1268+tax.
1269+(h)(i) Trade between wholesalers exempt. The taxes
1270+levied by subsections (a) and (d) shall not be imposed upon
1271+the sale, trade, or barter of table wine by one licensed
1272+wholesaler to another wholesaler licensed to sell and handle
1273+table wine in this state, which transaction is hereby made
1274+exempt from the tax; provided, however, the board may require
1275+written reporting of any such transaction in the form as the
1276+board may prescribe."
1277+Section 2. This act shall become effective on the first
1278+day of the third month following its passage and approval by
1279+the Governor, or its otherwise becoming law.
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