Second Regular Session of the 123rd General Assembly (2024)
PRINTING CODE. Amendments: Whenever an existing statute (or a section of the Indiana
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a new provision to the Indiana Code or the Indiana Constitution.
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between statutes enacted by the 2023 Regular Session of the General Assembly.
SENATE ENROLLED ACT No. 58
AN ACT to amend the Indiana Code concerning alcohol and
tobacco.
Be it enacted by the General Assembly of the State of Indiana:
SECTION 1. IC 7.1-1-3-45.5 IS ADDED TO THE INDIANA
CODE AS A NEW SECTION TO READ AS FOLLOWS
[EFFECTIVE JULY 1, 2024]: Sec. 45.5. "Specialty or gourmet
market" means a market that:
(1) holds a beer retailer's permit under IC 7.1-3-4 and wine
retailer's permit under IC 7.1-3-14;
(2) is engaged in the retail sale of miscellaneous specialty
foods for consumption on and off the premises, including:
(A) deli meat;
(B) fruits and vegetables;
(C) gourmet cheese;
(D) pasta and noodles;
(E) herbs, spices, and olive oil; and
(F) specialty wines; and
(3) is not engaged in the retail sale of automotive fuel.
SECTION 2. IC 7.1-3-20-9.5, AS AMENDED BY P.L.285-2019,
SECTION 33, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2024]: Sec. 9.5. (a) This section applies only to a retailer's
permit for a restaurant.
(b) This section does not apply to a retailer's permit that is issued or
transferred to the following:
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(1) A city market under IC 7.1-3-20-25.
(2) A marina under IC 7.1-3-1-25.
(3) A state park under IC 7.1-3-17.8.
(4) A golf course.
(5) A hotel or resort hotel.
(6) A social or fraternal club.
(7) A restaurant, the proprietor of which is the holder of:
(A) a brewer's permit under IC 7.1-3-2-7(5);
(B) a farm winery permit under IC 7.1-3-12-5; or
(C) an artisan distiller's permit under IC 7.1-3-27-8.
(8) A specialty or gourmet market (as defined in
IC 7.1-1-3-45.5). This exception applies only to a retailer's
permit with carryout privileges that was initially issued in
September 2019.
(c) Except as provided in subsections (d) and (e), after May 14,
2017, a retailer permittee may not sell alcoholic beverages for carryout
unless at least sixty percent (60%) of the retailer permittee's gross retail
income from the sale of alcoholic beverages is derived from the sale of
alcoholic beverages for consumption on the licensed premises.
(d) This subsection applies only to a retailer's permit with carryout
privileges that was issued to the current permit holder before
November 1, 2016. Notwithstanding IC 7.1-3-1-1.5, a retailer permittee
may continue to sell carryout after May 14, 2017, and is not required
to comply with the gross retail income requirements.
(e) This subsection applies to a retailer's permit with carryout
privileges that was initially:
(1) issued; or
(2) transferred to the premises location;
after October 31, 2016, and before May 15, 2017. Notwithstanding
IC 7.1-3-1-1.5, a retailer permittee may continue to sell carryout after
May 14, 2017, and is not required to comply with the gross retail
income requirements until the retailer's permit is renewed. A retailer
permittee may be issued a letter of extension, and subsequent renewals
of the extension under IC 7.1-3-1-3.1 but the permit term may not be
extended past April 1, 2018. A retailer permittee may continue to sell
carryout while the extension is in effect. If the permit is transferred as
to ownership or to a location that is not exempt under subsection (b),
the gross retail income requirements of this section apply upon transfer
of the permit.
(f) Except for a retailer permittee described in subsection (d), a
retailer permittee that has carryout privileges must apply for renewal
of the carryout privileges when applying for renewal of the retailer's
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permit. The retailer permittee must provide the commission with a
financial statement with information that shows the dollar amounts and
percentages of the retailer permittee's gross retail income that is
derived from sales of alcoholic beverages:
(1) for consumption on the licensed premises; and
(2) for carryout;
during the one hundred eighty (180) days preceding the date of the
application for renewal.
(g) For subsequent applications for renewal, the commission may
allow a retailer permittee to submit to the commission an affidavit of
compliance that is signed by the permittee, or by a responsible officer
or partner, under the penalties of perjury, that states that the
requirements of subsection (c) continue to be met. If the commission
has reasonable grounds to doubt the truthfulness of an affidavit of
compliance, the commission may require the retailer permittee to
provide audited financial statements.
(h) If an applicant for renewal of carryout privileges does not meet
the requirements of subsection (c) and the commission denies the
application, the applicant may apply for a reinstatement of carryout
privileges with the permittee's next application for renewal of the
retailer's permit that is made in accordance with subsection (i).
(i) An applicant:
(1) for a retailer's permit and carryout privileges that has not
opened for business; or
(2) for carryout privileges that:
(A) is the holder of a retailer's permit for an operating
business; and
(B) has had the previous application for carryout privileges or
renewal of carryout privileges denied by the commission;
must provide the commission with a verified certification stating that
the projected gross retail income from alcoholic beverage sales during
the business's first two (2) years of operations with carryout privileges
will meet the requirements of subsection (c). Not more than one
hundred eighty (180) days after the date the applicant begins or
resumes alcoholic beverage sales with carryout privileges, the applicant
shall provide a financial statement with sufficient information to show
that during the first one hundred twenty (120) days of business
operations with carryout privileges, sixty percent (60%) of the gross
retail income from all alcoholic beverage sales was derived from sales
of alcoholic beverages for consumption on the premises.
(j) The commission may:
(1) require that a financial statement submitted by an applicant
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under this chapter be audited by a certified public accountant; and
(2) with the cooperation of the department of state revenue, verify
the information provided by the applicant.
(k) The information provided to the commission under this chapter
regarding gross retail income is confidential information and may not
be disclosed to the public under IC 5-14-3. However, the commission
may disclose the information:
(1) to the department of state revenue to verify the accuracy of the
amount of gross retail income from sales of alcoholic beverages;
and
(2) in any administrative or judicial proceeding to revoke or
suspend the holder's permit as a result of a discrepancy in the
amount of gross retail income from sales of alcoholic beverages
discovered by the department of state revenue.
(l) Notwithstanding IC 6-8.1-7-1 or any other law, in fulfilling its
obligations under this section, the department of state revenue may
provide confidential information to the commission. The commission
shall maintain the confidentiality of information provided by the
department of state revenue under this chapter. However, the
commission may disclose the information in any administrative or
judicial proceeding to revoke or suspend the holder's permit as a result
of any information provided by the department of state revenue.
(m) If the commission does not grant or renew a retailer permittee's
carryout privileges, the denial shall not affect the other rights,
privileges, and restrictions of the retailer's permit, including the retailer
permittee's ability to sell alcoholic beverages for on-premises
consumption.
SEA 58 — Concur President of the Senate
President Pro Tempore
Speaker of the House of Representatives
Governor of the State of Indiana
Date: Time:
SEA 58 — Concur