Bill > SB641

This bill amends Hawaii's alcohol tax laws by introducing a new definition and tax rate for "low alcohol by volume spirits beverages" (LAV spirits), which are alcoholic beverages containing no more than 5% alcohol by volume and can include distilled spirits mixed with other ingredients. Specifically, the bill adds a new tax category to Section 244D-4 of Hawaii Revised Statutes, imposing a tax rate of $0.85 per wine gallon on these LAV spirits beverages, effective July 1, 2025. The definition is broad enough to include mixed drinks with both alcoholic and non-alcoholic components, and the bill places this new category alongside existing tax rates for other alcohol types like distilled spirits, wine, beer, and cooler beverages. While the bill is technically scheduled to take effect on July 1, 2050, the tax rate change is set for July 1, 2025, which suggests a potential typographical error or future legislative adjustment. The bill aims to create a specific tax classification for a growing category of lower-alcohol beverage products.

Budget and Finance, Business and Industry

https://www.capitol.hawaii.gov/session/measure_indiv.aspx?billtype=SB&billnumber=641&year=2026