Can I distil my own moonshine?
No — distilling alcohol is unambiguously banned, and unlike home brewing this is no grey area. Under Article 6 of the Alcohol Act no. 75/1998, distillation counts as production of alcohol, prohibited without a licence, and Article 7 goes further: it is forbidden to own, import, prepare or build specialised equipment for distilling alcohol — except under a special licence that private individuals do not get. The myth many carry over from beer: that moonshine for personal use is just home brewing in another form. That is wrong on two counts. First, the equipment itself is illegal — Article 28 says a still held by an unlicensed person is confiscated whether or not it has been used. Second, home distilling is life-threatening: badly distilled spirit leaves methanol, which causes blindness and death. Enforcement here rests with the police, customs and the tax authorities.
📋 The rules
- Distillation counts as production of alcohol under Article 6 of the Alcohol Act no. 75/1998 and is prohibited without a production licence, which private individuals cannot obtain for personal use.
- Article 7 bans owning, importing, preparing or building specialised equipment for distilling alcohol — the offence lies in the equipment itself, not only in the production.
- Under Article 28 a still held by an unlicensed person is confiscated regardless of whether it has been used, and any illegally produced alcohol is confiscated too.
- The range is fines or up to 6 years in prison (Article 27); distilling and selling are among the more serious alcohol-law offences.
- Home distilling carries a methanol risk: badly distilled spirit can contain wood alcohol that causes blindness or death — a danger that fermenting beer does not have.
🔓 Exceptions
- Holders of a production licence (for example a licensed distillery) may distil commercially under supervision and pay alcohol duty — that is the only legal route.
- Distilling for purposes other than drinking (industry, essential oils, fuel) falls outside the ban if no drinkable alcohol is being made.
- Making undrinkable alcohol drinkable again (for example purifying industrial spirit) is specifically banned in Article 7 and is treated as seriously as distilling.
⚠️ Penalties & fines
Distilling is among the more serious alcohol-law offences and falls under Article 27: fines or up to 6 years in prison, heavier by scale and by whether it was sold. What sets moonshine apart is that the equipment alone is enough: Article 28 provides that a still held by an unlicensed person is confiscated whether or not it has been used, along with all illegally produced alcohol and its containers. If the moonshine is sold, tax offences are added — evasion of alcohol duty — and the full weight of enforcement by customs and the tax authorities. But the costliest part is not legal, it is physical: methanol poisoning from badly distilled spirit causes permanent blindness and deaths, and a person who hands home-distilled alcohol to others can be liable for the harm to their health. Fermenting beer carries no such toxic risk; that is another reason the law draws a sharp line between the two.
📎 Official sources
- Althingi · Alcohol Act no. 75/1998 (Articles 7 and 28) →
- Icelandic Police · alcohol and drug offences →
- Directorate of Health · methanol poisoning and alcohol →
❓ Frequently asked
Is moonshine just a grey area like beer?
No, there is a fundamental difference — fermenting beer is rarely acted on, but distilling alcohol is unambiguously banned and even owning a still is a separate offence under Article 7 of the Alcohol Act. The equipment is confiscated whether or not it has been used, so moonshine sits in a much more serious position than home-brewed beer.
Can I own a still if I do not use it?
No, Article 7 of the Alcohol Act bans owning, importing, preparing or building specialised equipment for distilling alcohol without a special licence. Under Article 28 such equipment is confiscated from an unlicensed person regardless of whether it has ever been used for distilling.
What makes home distilling dangerous?
Faulty distillation leaves methanol, a wood alcohol that is highly toxic and causes blindness or death even in small amounts. This is a physical hazard that fermenting beer or wine does not carry, and it is a main reason the law treats distilling far more harshly than other home brewing.
What is the penalty for distilling alcohol?
Distilling falls under Article 27 of the Alcohol Act with a range of fines or up to 6 years in prison, and all equipment and product are confiscated under Article 28. If the moonshine is sold, tax offences for evasion of alcohol duty are added, which makes the case heavier still.
Who enforces the moonshine ban?
Enforcement of alcohol production rests with the police, customs and the tax authorities under the Alcohol Act. They can seize equipment and product, refer the case for prosecution and, where the moonshine has been sold, claim unpaid alcohol duty on top of the criminal penalty.
🔎 Common searches
What people search to land here:
- “moonshine iceland illegal”
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- “distilling penalty iceland”
- “methanol home distilling danger”
- “alcohol act distilling article 7”