1. A. No person shall sell (i) beer or wine coolers to retailers or consumers without paying the excise tax imposed by § 4.1-236 or (ii) wine to retailers or consumers without paying the excise tax imposed by subsection A of § 4.1-234. No retailer shall purchase, receive, transport, store or sell any beer, wine coolers, or wine on which such retailer has reason to know such tax has not been paid and may not be paid.

   Any person convicted of a violation of this subsection shall be guilty of a Class 1 misdemeanor.

2. B. In addition to subsection A, on each manufacturer, bottler, or wholesaler who fails to make any return and pay the full amount of the tax required by § 4.1-236 or subsection A of § 4.1-234, as applicable, and submit a wine wholesalers tax report or other report required by the Board to be submitted along with such tax payments, there shall be imposed a civil penalty to be added to the tax not to exceed five percent of the proper tax due if the failure is for not more than 30 days, with an additional five percent for each additional 30 days, or fraction thereof, during which the failure continues. Such civil penalty shall not exceed 25 percent in the aggregate. In the case of a false or fraudulent return, where willful intent exists to defraud the Commonwealth of any excise tax due on beer, wine coolers, or wine, a civil penalty of 50 percent of the amount of the proper tax due shall be assessed. All penalties and interest shall be payable to the Board and if not so paid shall be collectible in the same manner as if they were a part of the tax imposed.
3. C. After reasonable notice is given to the manufacturer, bottler, wholesaler, or retailer, he shall have 60 days in which to make any return, pay the full amount of the excise tax, and submit the wine wholesalers tax report or other report required by the Board to be submitted along with such tax payments. If the manufacturer, bottler, wholesaler, or retailer fails to make any return, pay the full amount of the excise tax, or submit any such report within the 60-day period, the Board may suspend or revoke the license of the manufacturer, bottler, wholesaler, or retailer. In the absence of willful intent to defraud the Commonwealth, if the manufacturer, bottler, wholesaler, or retailer makes the return, pays the full amount of the excise tax, and submits any such report, including any civil penalties imposed under this section, within the 60-day period, the violation shall be deemed cured and no further action shall be brought against such licensee on the matter.
4. D. Except for in the case of a false or fraudulent return where willful intent exists to defraud the Commonwealth, and notwithstanding any other provision of law or regulation, including §§ 4.1-225 and 4.1-227, the penalties provided in this section shall be the sole penalties that may be imposed by the Board for a violation of this section.

1988, c. 261, §§ 4-139, 4-140; 1993, c. 866; 2018, cc. 405, 406; 2026, c. 904.