HB 35: "An Act relating to a reduction in the state alcoholic beverage tax for certain small domestic wine producers."
00 HOUSE BILL NO. 35 01 "An Act relating to a reduction in the state alcoholic beverage tax for certain small 02 domestic wine producers." 03 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 04 * Section 1. AS 43.60.010(a) is amended to read: 05 (a) Except as provided in (c) and (d) of this section, every brewer, distiller, 06 bottler, jobber, retailer, wholesaler, or manufacturer who sells alcoholic beverages in 07 the state or who consigns shipments of alcoholic beverages into the state, whether or 08 not the alcoholic beverages are brewed, distilled, bottled, or manufactured in the state, 09 shall pay on all malt beverages (alcoholic content of one percent or more by volume), 10 wines, and hard or distilled alcoholic beverages, the following taxes: 11 (1) malt beverages at the rate of $1.07 a gallon or fraction of a gallon; 12 (2) cider with at least 0.5 percent alcohol by volume but not more than 13 seven percent alcohol by volume, at the rate of $1.07 a gallon or fraction of a gallon; 14 (3) wine or other beverages, other than beverages described in (1) or
01 (2) of this subsection, of 21 percent alcohol by volume or less, at the rate of $2.50 a 02 gallon or fraction of a gallon; and 03 (4) other beverages having a content of more than 21 percent alcohol 04 by volume at the rate of $12.80 a gallon. 05 * Sec. 2. AS 43.60.010 is amended by adding a new subsection to read: 06 (d) The amount of tax levied under (a)(3) of this section is reduced for a small 07 domestic wine producer that is allowed a tax credit under 26 U.S.C. 5041(c). The 08 amount of the reduction equals the amount of the credit that the producer is allowed 09 under 26 U.S.C. 5041(c). To qualify for the tax rate reduction under this subsection, a 10 wine producer must file with the department an application for the reduced rate and 11 proof of the credit that is allowed to the producer under 26 U.S.C. 5041(c). The 12 department may establish by regulation additional requirements for applying for the 13 reduced rate.