An Act Regarding the Taxation of Flavored Malt Beverages

Sec. 1. 28-A MRSA §2, sub-§16-A,  as amended by PL 2011, c. 629, §4, is further amended to read:

Sec. 2. 28-A MRSA §2, sub-§31,  as amended by PL 1999, c. 535, §2, is further amended to read:

Sec. 3. Classification of certain malt-based or wine-based products for tax purposes; intent. The Department of Administrative and Financial Services, Bureau of Alcoholic Beverages and Lottery Operations may not impose the tax described under the Maine Revised Statutes, Title 28-A, section 1652, subsection 1-A or the tax described under Title 28-A, section 1365 on any malt liquor-based or wine-based product not previously listed by the bureau as of June 1, 2017 or subject to a tax under Title 28-A, section 1652, subsection 1-A or section 1365 based on the fact that a flavoring, extract or concentrate has been added to the product that:

1. May or may not contain alcohol;

2. Is not intended to be consumed alone as a beverage or a food product but serves as a flavor enhancement to a beverage or a food product; and

3. Is not, prior to being added to a malt beverage or wine, subject to excise tax under chapter 65.

This section is not intended to affect the application of the tax described under Title 28-A, section 1652, subsection 1-A or the tax described under Title 28-A, section 1365 to any malt liquor-based or wine-based product described in this section that was listed with the bureau prior to June 1, 2017.