CARES Act – Temporary exception from excise tax for alcohol used to produce hand sanitizer

By: Timothy Lynn

The CARES Act includes an exception from the excise tax on distilled spirits for distilled spirits removed from bonded premises between January 1, 2020 and December 31, 2021 for use in or contained in hand sanitizer produced and distributed in accordance with FDA guidance relating to COVID-19.

Furthermore, rules for labeling and bulk sales under the Federal Alcohol Administration Act and Alcoholic Beverage Labeling Act of 1988.