A US appeals court on Friday declared a nearly 158-year-old federal ban on home distilling unconstitutional, calling it an unnecessary and inappropriate means for Congress to exercise its taxing power.
The Fifth U.S. Circuit Court of Appeals in New Orleans ruled in favor of the nonprofit Hobby Distillers Association and four of its 1,300 members.
He argued that people should be free to distill spirits at home, whether as a hobby or for personal consumption, including, in one example, creating an apple-pie-vodka recipe.
This ban was part of a law passed in July 1868 to prevent liquor tax evasion during the Reconstruction era after the US Civil War, and violators were punished with up to five years in prison and a $10,000 fine.
Writing for a three-judge panel, Circuit Judge Edith Hollan Jones said the ban actually reduced tax revenues by preventing distillation, contrary to the laws that regulate the manufacture and labeling of distilled spirits, on which the government can collect taxes.
He also said that under the government’s logic, Congress could criminalize virtually any domestic activity that could escape the notice of tax collectors, including remote work and home-based businesses.
Jones wrote, “Without a limiting principle, the government’s theory would violate this Court’s obligation to read the Constitution carefully to avoid creating a general federal authority tantamount to a police power.”
The US Justice Department had no immediate comment. Another defendant, the Treasury Department’s Alcohol and Tobacco Tax and Trade Bureau, did not immediately respond to a request for comment.
Devin Watkins, an attorney representing the Hobby Distillers Association, called the decision an important decision about the limits of federal power.
Andrew Grossman, who argued the nonprofit’s appeal, called the decision “a significant victory for individual liberty” that allows the plaintiffs to “pursue their passion of distilling fine beverages in their homes.”
“I look forward to sampling their output,” he said.
The ruling upheld a July 2024 ruling by U.S. District Judge Mark Pittman in Fort Worth, Texas. He put his decision on hold so the government could appeal.
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