Supreme Court to review federal ban on distilling spirits at home

The Supreme Court agreed Monday to consider whether a longstanding federal ban on distilling spirits in private homes is constitutional, taking up appeals arising from conflicting federal court rulings in Texas and Ohio.

The law, enacted in 1868 to combat tax evasion, prohibits distilling spirits in a dwelling house or associated structures. Violations can carry a fine of up to $10,000 and as much as five years in prison. Federal law permits people to make beer and wine at home for personal use.

The challengers include the Hobby Distillers Association and individuals who sought permission from the Treasury Department’s Alcohol and Tobacco Tax and Trade Bureau to distill at home. They argue that Congress exceeded its taxing authority because the prohibition itself does not raise revenue. The 5th U.S. Circuit Court of Appeals sided with challengers in the Texas case, while the 6th Circuit upheld the restriction in a separate Ohio case.

The federal government maintains that Congress may restrict where taxable activities occur when there is a substantial risk that taxes will go unpaid. Even if the challengers prevail, home distillers would still be required to register their stills and pay federal excise taxes on the spirits they produce.

Several states permit home distilling, but those laws do not override the federal prohibition. Congress has also considered legislation to repeal the restriction.