Low Alcohol Wine Act

Bill: 114-hr-5872
Sponsor: full_name: Rep. Nunes, Devin [R-CA-22]
Introduced: 2016-07-14
Policy area: Taxation
Subjects: Alcoholic beverages

Fruit and vegetables

Sales and excise taxes
Latest action: action_date: 2016-07-14
text: Referred to the House Committee on Ways and Means.

Summaries:
action_date: 2016-07-14
action_desc: Introduced in House
text: <p><b>Low Alcohol Wine Act </b></p> <p>This bill amends the Internal Revenue Code to require mead and low alcohol by volume wine to be taxed at the same rate as still wines containing not more than 14% of alcohol by volume. </p> <p>Mead is a wine that: (1) contains not more than 0.64 grams of carbon dioxide per hundred milliliters of wine with an exception for a limit that is reasonably necessary in good commercial practice, (2) is derived solely from honey and water, (3) contains no fruit product or fruit flavoring, and (4) contains less than 8.5% alcohol by volume. </p> <p>A low alcohol by volume wine is a wine that: (1) contains not more than 0.64 grams of carbon dioxide per hundred milliliters of wine with an exception for a limit that is reasonably necessary in good commercial practice, (2) is derived primarily from grapes or from grape juice concentrate and water, (3) contains no fruit product or fruit flavoring other than grape, and (4) contains less than 8.5% alcohol by volume. </p>

tv_txt: I 114th CONGRESS 2d Session H. R. 5872 IN THE HOUSE OF REPRESENTATIVES July 14, 2016 Mr. Nunes (for himself and Mr. Thompson of California ) introduced the following bill; which was referred to the Committee on Ways and Means A BILL To amend the Internal Revenue Code of 1986 to modify the taxation of mead and certain low alcohol by volume wine.

1. Short title This Act may be cited as the Low Alcohol Wine Act . 2. Modification of taxation of mead and certain low alcohol by volume wine (a) In general Section 5041 of the Internal Revenue Code of 1986 is amended by adding at the end the following: (h) Mead and low alcohol by volume wine (1) Tax and tax rate For purposes of subsections (a) and (b)(1), mead and low alcohol by volume wine shall be treated as still wines containing not more than 14 percent of alcohol by volume. (2) Definitions For purposes of paragraph (1)— (A) Mead The term mead means a wine— (i) containing not more than 0.64 gram of carbon dioxide per hundred milliliters of wine, except that the Secretary may by regulations prescribe such tolerances to this limitation as may be reasonably necessary in good commercial practice, (ii) which is derived solely from honey and water, (iii) which contains no fruit product or fruit flavoring, and (iv) which contains less than 8.5 percent alcohol by volume. (B) Low alcohol by volume wine defined The term low alcohol by volume wine means a wine— (i) containing not more than 0.64 gram of carbon dioxide per hundred milliliters of wine, except that the Secretary may by regulations prescribe such tolerances to this limitation as may be reasonably necessary in good commercial practice, (ii) which is derived— (I) primarily from grapes, or (II) from grape juice con­cen­trate and water, (iii) which contains no fruit product or fruit flavoring other than grape, and (iv) which contains less than 8.5 percent alcohol by volume. . (b) Effective date The amendment made by this section shall apply to wines removed during calendar years beginning after December 31, 2016.