Alcohol

Charity Wine and Beer Permit

“Do your givin’ while you’re livin’... then you’ll be knowin’ where it’s goin’.” 
– Ann Landers (1918 - 2002)

Whether for purely altruistic motives or simply to maximize tax incentives, Iowans heed the wisdom of Ann Landers and donate more than $1.5 billion annually to local, national and international nonprofit organizations.  As the holidays approach, many of us find there’s no better way to share in the spirit of the season than by stepping up our charitable giving.  Fundraising events that feature a live or silent auction element provide participants a fun and easy way to give more to nonprofit organizations by purchasing donated items, including beer and wine.

The Charity Beer and Wine Auction Permit allows authorized nonprofit entities to auction beer and wine during events that raise money solely to be used for educational, religious or charitable purposes. Below is a breakdown of what you need to know if you are a licensee, a Charity Beer and Wine Permit holder or an individual purchasing or donating alcohol for charity. 

An Iowa retail beer or wine permittee:

  • Persons holding an Iowa liquor license or Iowa wine or beer permit are prohibited from purchasing donated beer or wine at a charity auction event.
  • May donate beer or wine in the original unopened container for auction.  Auction items are for off-premises consumption only and cannot be resold by the purchaser. 
  • May allow a charity beer or wine auction to be conducted on certain licensed premises, provided that the licensee or permittee does not participate in the auction, supply beer or wine to be auctioned or receive any of the proceeds of the charity auction event. 

A Charity Beer and Wine Permit holder:

  • Must be an authorized nonprofit entity.  (An authorized nonprofit entity includes an organization which has a principal office in the state, a nonprofit corporation organized under Iowa Code chapter 504, or a foreign corporation as defined in section Iowa Code 504.141, whose income is exempt from federal taxation under section 501(c) of the Internal Revenue Code.)
  • May receive two charity wine and beer auction permits during a calendar year.
  • May accept for auction beer or wine donated by an Iowa retail beer or wine permittee.
  • May accept for auction beer or wine donated by an individual, provided that it has been purchased from an Iowa retail beer or wine permittee and is accompanied by the original receipt.
  • Must keep a copy of the original receipt for donations from individuals for one year from the date of the event.
  • Must not profit in any way from the charity auction event.
  • Must not sell any alcoholic beverages at the charity event.

An individual:

  • May donate beer or wine that is purchased from an Iowa licensed retailer to a charity auction event.  Donated products must be accompanied by a receipt documenting the purchase.
  • Must be physically present at the charity event to be eligible to bid on and purchase donated beer or wine.
  • Must not consume the beer or wine purchased at a charity event on the premises where the event is conducted.
  • Must not resell beer or wine purchased at a charity event.

As always, please contact Division staff with any questions or for assistance.  Licensing can be reached at 1.866.IowaABD, option 1, or via email at Licensing@IowaABD.com.