II
118th CONGRESS
2d Session
S. 5442
IN THE SENATE OF THE UNITED STATES
December 5, 2024
Mr. Schumer introduced the following bill; which was read twice and referred to the Committee on Finance
A BILL
To amend the Internal Revenue Code of 1986 to remove the differentiation between mead and low alcohol by volume wine for purposes of the tax imposed on wines.
Short title
This Act may be cited as the Bubble Tax Modernization Act of 2024
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Removing differentiation between mead and low alcohol by volume wine
In general
Section 5041(h) of the Internal Revenue Code of 1986 is amended to read as follows:
Low alcohol by volume wine
In general
For purposes of subsections (a) and (b)(1), low alcohol by volume wine shall be deemed to be still wines containing not more than 16 percent of alcohol by volume.
Definition
For purposes of this section, the term low alcohol by volume wine
means a wine—
containing not more than 0.64 gram of carbon dioxide per hundred milliliters of wine, except that the Secretary may by regulations prescribe such tolerances to this limitation as may be reasonably necessary in good commercial practice, and
which contains less than 8.5 percent alcohol by volume.
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Effective date
The amendment made by this section shall apply to wine removed after December 31, 2024.