The new Washington beer tax starts today. In addition to beer, their will also be new taxes for candy, bottled water, and gum. These taxes are expected to bring in $122 million over the next year, and under the legislation the taxes are slated to expire after 3 years. Visit the Seattle Times for more info on all of the tax increases:
Seattle Times: New Tax Kicks in Tuesday
From the article:
“Whenever they need a new tax, they look at alcohol,” said Barry Adams, owner of The Beer Authority in Lake City, which stocks more than 150 beers and offers a half-dozen on tap.
Domestic microbrews are exempt from the tax increase, but all imports, strong beers and large breweries are subject to the tax, which will add about 28 cents to the cost of a six-pack.
It’s not yet clear how much of the increased tax will be passed on to consumers by importers, distributors and retailers. Time will tell on that.
On a more positive note, check out this profile of Walking Man Brewing in the Columbian:
The Columbian: Brew fans raise a glass to Walking Man
I was just down there this weekend enjoying some of their fantastic beers, and it’s always good to see deserving breweries get press. One quote explains perfectly how quite a few Washington breweries feel about expansion:
…don’t look for expansion plans for the seven-tank brewery, an operation that’s housed in the equivalent of a one-car garage.
“We keep the city supplied with beer and send out what’s left over,” said Craig, who once owned a windsurfing business. “The minute you start expanding, you start chasing your tail.”
While I would love to see more of their beer in Seattle, you’ve gotta love that they are just happy making good beer for the locals and don’t need to take over the world, regardless of how many people might want to get their hands on their beer.
Alan Moen // Jun 1, 2010 at 12:01 pm
This tax is going to affect Washington craft brewers, regardless of what has been said in the general media. It is a near tripling of the tax, from $8.08 to $23.58 per barrel for megabrews, imports and over 8% ABV beers (like many of our favorites from Walking Man). It will probably be more like $1 per gallon when distributors and retailers add their markup to a product whose cost is already 44 percent tax. And for those who have tried before to dramatically raise beer taxes, this is a watershed victory that bodes ill for the entire beer industry in the future.