HB328 Alabama 2022 Session

Summary

Primary Sponsor

Gil Isbell

Republican

Session

Regular Session 2022

Title

Alcoholic beverages, spirit infused beverages, defined, manufacture, wholesale, retail sale provided for, tax on retail sale of spirit infused beverages, Secs. 28-3-1, 28-3-53.2, 28-3A-9, 28-3A-21, 28-7A-2 am'd.

Summary

HB328 creates a new category called spirit infused refreshments, allows certain licensees to sell and manufacture them, and taxes their sale and distribution.

What This Bill Does

It defines spirit infused refreshments as single serve beverages in containers up to 16 ounces with up to 10% alcohol by volume. It creates an Alcoholic Beverage Control Board license for retail sale by retail beer licensees, and permits beer manufacturers and beer or wine wholesalers to manufacture and wholesale these drinks. It imposes taxes on the wholesale and retail sale of spirit infused refreshments and designates how the proceeds are distributed, while letting municipalities impose a similar local tax. It also prohibits the board from applying any markup to the cost of spirit infused refreshments sold by the board and allows a limited spirit expanded license for on-site or off-site sale under zoning rules.

Who It Affects

• Retail beer licensees would be allowed to sell spirit infused refreshments under a new license, affecting their product offerings and license fees.
• Beer manufacturers and beer or wine wholesalers could manufacture and wholesale spirit infused refreshments, affecting production, distribution, and regulatory oversight.

Key Provisions

• Defines spirit infused refreshments as a single serve beverage in a can or container up to 16 ounces containing liquor and up to 10% alcohol by volume.
• Creates a new retail license for spirit infused refreshments issued by the ABC Board to retail beer licensees, with an associated license fee.
• Imposes taxes on the wholesale and retail sale of spirit infused refreshments and directs how the proceeds are distributed; allows municipalities to levy a tax at the same rate as beer.
• Allows any beer manufacturer to manufacture spirit infused refreshments and requires them to follow the same privileges and limitations as beer; authorizes wholesale distribution by beer or wine wholesalers.
• Prohibits the ABC Board from applying any markup to the cost of spirit infused refreshments sold by the board.
• Establishes a limited spirit expanded license for on premises or off premises sale, with license terms tied to zoning and police power, and retains the license fees collected by the board.

AI-generated summary using openai/gpt-5-nano on Feb 22, 2026. May contain errors — refer to the official bill text for accuracy.

Subjects

Alcoholic Beverages