Alcoholic Beverage Tax - Ready-to-Drink Cocktails

HB 736 establishes a new tax rate for ready-to-drink cocktails in Maryland, setting it at 60 cents per gallon (or 15.85 cents per liter) - significantly lower than the $1.50 per gallon rate for regular distilled spirits. The bill defines "ready-to-drink cocktails" as pre-mixed beverages containing distilled spirits (up to 12% alcohol by volume) in containers under 16 ounces, directly affecting manufacturers, distributors, and retailers selling these products. It modifies existing tax code sections to create this separate rate category, while maintaining standard tax rates for other alcoholic beverages like wine and beer. The law takes effect July 1, 2026.