The short answer is yes. In 1791 a tax that came to be known as the "whiskey tax" was passed by the US Federal government that had just been established under the new Constitution 2 years previously. This new law met with significant resistance, especially in the western Pennsylvania where what is known as the "Whiskey Rebellion" took place. At this time the production of moonshine would have been illegal as a form of tax evasion. This law was repealed in 1801, but similar laws would follow and in regions where moonshine was one of the best ways for farmers to make money from their excess corn, moonshine was produced in secret to avoid taxes. In this way the production of illicit moonshine continued into the era of prohibition.