Where does the money go?
For each retail dollar spent on the shelf price of a bottle of liquor in
an ABC State Store, there is a 6% Sales Tax added. Funds from this sale are
distributed to several different accounts. This in turn reduces the tax
burden on the citizens of Alabama in general; providing dollars to the State
General Fund, social & medical programs through the Department of Human
Resources and Department of Mental Health, education, local budgets, tax
administration and regulation, and statewide law enforcement.
For each $1.00 of a purchase plus $0.06 Sales Tax, funds are distributed
- Cost of Product - $0.49
- State General Fund (GF) - $0.12 *
- Department of Mental Health (DMH) – $0.09 *
- Department of Human Resources (DHR) - $0.11 *
- ABC - $0.19 **
- Department of Revenue (DOR) - $0.041
- City - $0.01425
- County - $0.00475
* Funds are reduced by TVA Supplemental Distribution to Non-Served Dry
Counties as required by Act 2010-135.
** ABC funds not spent for operations each year are distributed to the
funds listed above as required by state law. (More than $3.5 Million for FY