A bill for an act providing for the direct shipment of beer, levying a barrel tax and a surcharge, providing fees, making penalties applicable, and including effective date provisions.

2025-2026 Regular Session Introduced by Megan Jones

HF 128 allows adults 21+ to receive direct beer shipments for personal use, imposes a barrel tax, and ensures compliance with state regulations for responsible consumption.

Introduced, referred to State Government.

#alcoholicbeverages #beerbarreltaxes

Bill Overview

Bill Number: HF 128
Title: A bill for an act providing for the direct shipment of beer, levying a barrel tax and a surcharge, providing fees, making penalties applicable, and including effective date provisions.
Status: Introduced, referred to State Government
Introduced Date: January 27, 2025
Classification: Bill
Subject: Alcoholic beverages, beer barrel taxes

Purpose and Intent

The primary purpose of HF 128 is to regulate the direct shipment of beer to consumers, allowing individuals aged 21 and older to receive beer shipments for personal use. The bill aims to establish a framework for the taxation and regulation of these shipments, ensuring compliance with state laws and promoting responsible consumption.

Key Provisions

Direct Shipment Authorization:

Individuals aged 21 and older can receive beer shipments for personal use, not for resale.
Beer must be registered with the federal Alcohol and Tobacco Tax and Trade Bureau and produced on the premises of a licensed beer direct shipper.

Labeling Requirements:

All beer containers shipped must be labeled with a warning indicating that the package contains alcohol and requires a signature from a person aged 21 or older upon delivery.

Shipping Regulations:

Shipments must be conducted by holders of an alcoholic beverage carrier permit.
No refund value is required for beverage container control purposes under chapter 455C for these shipments.

Barrel Tax:

Beer direct shipper permit holders are required to remit a barrel tax on beer subject to direct shipment, applicable whether shipped within or out of state.
The tax rate is specified in section 123.136 and must be remitted according to the procedures outlined in section 123.137.

Compliance and Enforcement:

Permit holders consent to the jurisdiction of state agencies for enforcement of the bill's provisions.
The Department of Revenue may audit shipping records of permit holders upon request.

Penalties for Violations:

Violations of the provisions outlined in the bill may result in civil penalties and other general penalties as specified in the relevant chapter.

Impact

Consumers: The bill allows consumers aged 21 and older to receive beer shipments directly, enhancing convenience and access to a wider variety of products.

Breweries and Distributors: Licensed breweries and distributors will need to comply with new regulations and tax obligations, which may affect operational practices.

State Revenue: The introduction of a barrel tax on direct shipments is expected to generate additional revenue for the state.

Procedural Aspects

The bill was introduced on January 27, 2025, and has been referred to the State Government committee for further consideration. The timeline for further legislative action is yet to be determined.

This summary provides a comprehensive overview of HF 128, outlining its purpose, key provisions, and potential impacts on consumers and businesses within the state.

Bill