The South Carolina Senate passed a new bill earlier this week to allow distillers and brewers to donate alcohol to nonprofits hosting an event.
While producers contributing liquor and beer to charity events is nothing new in South Carolina, state agencies had recently begun cracking down the ways in which nonprofits received donations of alcohol. After clearing the Senate with a nearly unanimous vote, the proposed legislation now sits before the House Judiciary Committee.
Alcohol in South Carolina follows a three-tiered path from brewer to bar stool. Beginning with the producers who craft your favorite beverages, wholesalers then step in to pick up the goods and distribute them to retailers. This setup allows government agencies to provide oversight and ensure that all the required taxes are paid — or at least that’s how the state sees it.
Under the proposed bill that passed the Senate, nonprofit groups would need to apply for a special events license, which would be limited to four a year, and pay a $40 fee. Producers would still be required to transfer donations of alcohol through a wholesaler operating in the territory where the nonprofit event is set to take place. Wholesalers would be responsible for handling the appropriate state taxes on the alcohol donated. If signed into law, the new bill would also allow suppliers to pour and serve alcohol during nonprofit events.
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