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US appeals court declares 158-year-old home distilling ban unconstitutional

US appeals court declares 158-year-old home distilling ban unconstitutional
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A federal appeals court ruled Friday that a nearly 158-year-old ban on home distilling is unconstitutional, saying the law was an improper way for Congress to use its authority to tax.

The 5th U.S. Circuit Court of Appeals in New Orleans sided with the nonprofit Hobby Distillers Association and four of its 1,300 members in the case.

The group argued that people should be allowed to distill spirits in their homes for personal use or as a hobby. One member, for example, wanted to create an apple-pie-vodka recipe at home.

The ban originated in a law passed during Reconstruction in July 1868. It was intended in part to prevent liquor tax evasion and allowed for penalties of up to five years in prison and a $10,000 fine for violators.

The 5th U.S. Circuit Court of ‌Appeals in New Orleans on Friday declared unconstitutional a nearly 158-year-old federal ban on home distilling. bongiozzo – stock.adobe.com

In the court’s decision, Circuit Judge Edith Hollan Jones wrote that the ban actually reduced potential tax revenue because it prevented distilling entirely, rather than regulating it in a way that would allow the government to collect taxes on production and labeling of spirits.

Jones also warned that the government’s reasoning could lead to an overly broad interpretation of federal authority. She wrote that under the same logic, Congress could criminalize many in-home activities that might escape the attention of tax collectors, such as remote work or home-based businesses.

“Without any limiting principle, the government’s theory would violate this court’s obligation to read the Constitution carefully to avoid creating a general federal authority akin to the police power,” Jones wrote.

The U.S. Department of Justice did not immediately comment on the ruling. Another defendant, the Treasury Department’s Alcohol and Tobacco Tax and Trade Bureau, also did not respond right away to requests for comment.

The court called it an unnecessary and improper means for Congress to exercise its authority to tax, as the ruling favors the nonprofit Hobby Distillers Association and some of its members. Igor – stock.adobe.com

Devin Watkins, an attorney representing the Hobby Distillers Association, said in an interview that the decision is an important statement about the limits of federal power. Andrew Grossman, who argued the nonprofit’s appeal, described the ruling as a victory for individual liberty that allows the plaintiffs to pursue their interest in distilling beverages at home.

“I look forward to sampling their output,” Grossman said.

The appeals court decision affirms a July 2024 ruling by U.S. District Judge Mark Pittman in Fort Worth, Texas. Pittman had temporarily paused his ruling to allow the federal government to appeal.

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