Senate Bill 85
Senate Bill 85 provides for the limited sale of Malt Beverage and Distilled Spirits directly to customers, with certain limitations.
- Breweries may directly sell 3,000 barrels of their beer per year to customers (barrel is 31 gallons).
- Distilleries may directly sell 500 barrels of distilled spirits per year to customers (barrel is 53 gallons).
Frequently Asked Questions:
- Will special permits be required to conduct direct sales? No, the Department will not issue permits related to the direct sale of alcohol by a licensed Manufacturer.
- Can a brewery or distillery still rent event space to a special event or non-profit special event permittee? Yes, however, manufacturers are not allowed to directly provide or sell alcohol to event organizers or attendees. Pursuant to Department Rule 560-2-2-.67, Alcoholic Beverage for special event attendees must be purchased from a licensed Wholesaler.
- Can a brewery or distillery sell and serve food on the premises? Yes, breweries and distilleries may offer food for purchase either directly or through a third-party vendor, such as food trucks.
- Can a brewery or distillery provide free samples? Yes, manufacturers may continue to provide samples free of charge, but tax must be paid on the samples and the samples count against the barrel limits.
Brewers and distillers must remit state and local Excise tax and Use tax on all Alcoholic Beverage given away.
- Can a manufacturer serve Alcoholic Beverage manufactured by another brewery or distillery? No. Unlike licensed Brewpubs, manufacturers can only sell their own products.
- Should Brewers and Distillers collect sales tax on beverage alcohol sold directly to consumers? Yes. The sale of alcohol to consumers is a taxable retail sale subject to sales and use tax.
For more information please see the Department's policy bulletin on direct sales by brewers and distillers.