The US Treasury Department has reported that it is seeking public comment on plans to change the tax and regulation structure concerning "malternatives", ready-to-drink (RTD) flavoured low-alcohol drinks. According to the Treasury Department announcement, it planned to tax malternatives as beer only if less than 0.5% the drink's content comes from distilled spirits rather than from malt alcohol.

The growth in these drinks had prompted the changes, officials from the department said. “At present, malternatives are taxed and regulated differently from the distilled spirits brands, which they are often named after. However, many of the brands derive much of their taste from distilled spirit found in their added flavourings.”

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