A bill to amend the Internal Revenue Code of 1986 to ensure that low alcohol by volume kombucha is exempt from any excise taxes and any regulations under chapter 53 of such Code which are imposed on alcoholic beverages.

Read twice and referred to the Committee on Finance.

2026-04-30

Low-alcohol kombucha beverages would be exempted from federal excise taxes and alcohol regulations that apply to other alcoholic drinks. This would allow kombucha producers and consumers to avoid the tax burden currently placed on alcoholic beverages, even though kombucha contains only minimal amounts of alcohol. The change would primarily benefit kombucha manufacturers and the growing market for this fermented tea drink.