Yes, moonshine is illegal in California. Producing distilled spirits without a license violates both federal and California law, and the penalties are serious: up to five years in federal prison, fines of $10,000 per offense, a separate California felony for operating an unlicensed still, and forfeiture of your equipment, raw materials, and even the land the still sits on.
Why Spirits Aren’t Treated Like Homebrewed Beer or Wine
People often assume that if home brewing is legal, home distilling must be too. It isn’t. Federal regulations explicitly prohibit producing distilled spirits at home for personal use; spirits may only be produced at a facility registered with the Alcohol and Tobacco Tax and Trade Bureau (TTB).1eCFR. 27 CFR 19.51 – Home Production of Distilled Spirits Prohibited Adults can legally brew up to 100 gallons of beer per year at home, or 200 gallons in a household with two or more adults, and a similar exemption exists for homemade wine.2Office of the Law Revision Counsel. 26 USC 5042 – Exemption From Tax on Wine No equivalent carve-out exists for distilled spirits anywhere in the United States.3Alcohol and Tobacco Tax and Trade Bureau. Home Distilling
Every gallon of spirits produced in the country is subject to a federal excise tax, with the general rate at $13.50 per proof gallon.4Office of the Law Revision Counsel. 26 USC 5001 – Imposition, Rate, and Attachment of Tax Moonshine pays none of it, which is a big part of why the federal government pursues these cases aggressively.
Federal Penalties for Unlicensed Distilling
Under 26 U.S.C. 5601, producing distilled spirits outside a registered facility, possessing an unregistered still, or operating as a distiller without filing the required registration are each federal felonies. Each offense carries up to five years in prison and a fine of up to $10,000.5Office of the Law Revision Counsel. 26 USC 5601 – Criminal Penalties Distilling with the intent to evade taxes is a separate felony under 26 U.S.C. 5602, with the same maximum penalties.3Alcohol and Tobacco Tax and Trade Bureau. Home Distilling Because these penalties apply per offense, a single moonshining setup can generate multiple felony counts: one for the unregistered still, another for unlicensed production, and potentially a third for tax fraud.
You don’t have to run the still to face federal charges. Transporting, possessing, buying, selling, or transferring distilled spirits in a container that lacks the required tamper-evident federal closure is also a felony punishable by up to five years in prison and $10,000 per offense.6Office of the Law Revision Counsel. 26 USC 5604 – Penalties Relating to Marks, Brands, and Containers Buying a jar at a swap meet puts the buyer on the wrong side of the statute too.
California’s Added Felony for Operating a Still
California stacks its own criminal liability on top of federal law. Business and Professions Code 23300 makes it unlawful for anyone to perform any act requiring an alcohol license unless they actually hold that license.7California Legislative Information. California Code Business and Professions Code 23300 – In General Most violations of that section are misdemeanors, but BPC 23301 specifically carves out operating a still without a still license as a felony.8California Legislative Information. California Code Business and Professions Code 23301 Running a moonshine operation in California therefore exposes you to felony charges at both the state and federal level simultaneously.
Selling the spirits is a separate violation of BPC 23300, so a producer who also distributes is piling additional charges on top of the still offense.7California Legislative Information. California Code Business and Professions Code 23300 – In General
What the Government Can Seize
Asset forfeiture is often the most financially devastating consequence. Federal law lets the government take far more than the still itself. Under 26 U.S.C. 5615, the following are subject to forfeiture:
- Any still or distilling apparatus not registered with the TTB, along with all personal property found in the building or connected yard where the still is located.
- All raw materials, finished spirits, wines, and personal property found at the distillery site.
- The distiller’s rights in the land where the operation sits, and the landowner’s rights too if the landowner knowingly allowed distilling to take place on the property.9Office of the Law Revision Counsel. 26 USC 5615 – Property Subject to Forfeiture
That last category catches people off guard. If you knowingly let a friend run a still in your garage or on your rural acreage, your ownership interest in the land is on the table.
What’s Still Legal to Own
Not every apparatus that separates liquid is treated as a regulated still. California defines a “still” as any apparatus capable of separating alcohol or alcoholic vapors from a liquid, but the definition explicitly excludes stills used for laboratory purposes or solely for producing distilled water or non-alcoholic substances.10California Legislative Information. California Code BPC 23034 A countertop water distiller is fine. The legal problem begins the moment any apparatus is used to produce drinkable alcohol without a license.
There is also one narrow federal exception for fuel. The TTB issues Alcohol Fuel Plant permits that allow individuals or businesses to distill ethanol strictly for use as fuel. There is no application fee, though medium and large operations must post a distilled spirits bond, and applicants must submit proof of their business entity, proof of property ownership or a lease, and a diagram of where distilling and storage will take place.11Alcohol and Tobacco Tax and Trade Bureau. Alcohol Fuel Plant Required Documents The ethanol produced must be rendered undrinkable (denatured) to TTB specifications. Using the permit as cover to make drinkable spirits triggers the same criminal penalties as any other unlicensed distilling.
How to Distill Spirits Legally in California
Running a legitimate distillery is possible; it just requires both federal and state approval. There is no fee to apply for federal permits from the TTB.12Alcohol and Tobacco Tax and Trade Bureau. Distilled Spirits Permits You register as a Distilled Spirits Plant (DSP), which authorizes you to produce, bottle, process, or store beverage spirits commercially.13Alcohol and Tobacco Tax and Trade Bureau. Distilled Spirits Plant (DSP) – Beverage
On the state side, the California Department of Alcoholic Beverage Control issues alcohol licenses.14Alcoholic Beverage Control. License Types15Alcoholic Beverage Control. The Craft Distillers Act of 201516California Department of Alcoholic Beverage Control. Industry Advisory – The Craft Distillers Act of 2015 That is the lawful route for anyone whose real interest is in producing spirits for sale or for sharing at a tasting room, and it is the only route that keeps a Californian clear of felony exposure.