This is
something that is long overdue for American winemakers, brewers and
distillers. We offer a similar package
for the distilleries in Puerto Rico and the U.S. Virgin Islands, it is time to
start taking of the alcoholic beverage producers at home.
Almost 300
House members have voiced support for a similar proposal. The
amendment would cut federal excise taxes on beer and spirits. It also would allow small winemakers to
access a larger credit for the wine excise tax, which ranges between $1.07 and
$3.40 per gallon.
Groups that
represent brewers, winemakers and distillers in Washington said on Monday that
the Senate should use its tax reform package to enact long-discussed changes to
the excise tax regime which, in the industry's view, would help both large
beverage-makers and smaller, craft operations.
In a Nov. 13
letter to Senate Finance Committee Chairman Orrin Hatch (R-Utah), industry
leaders said including language championed by Sen. Rob Portman (R-Ohio) in a
manager's amendment to the tax legislation would ease the excise tax regime for
alcoholic beverage companies that are also advocating for looser regulations.
The Beer Institute, Brewers Association, Wine Institute, Wine America,
Distilled Spirits Council and American Craft Spirits Association signed onto
the letter.
"The
beverage alcohol industry remains one of the most regulated industries in
America," the groups wrote. "Brewers, winemakers and distillers pay
state, local and federal taxes on their production. Federal excise taxes, which
are regressive taxes, are simply too high."
Portman's
amendment would enact the provisions of S. 236, which contains several changes
to how the federal tax code treats the sale and production of alcoholic
beverages. The underlying legislation was introduced by Sen. Ron Wyden of
Oregon, the ranking Democrat on the Finance Committee, on Jan. 30. It has
bipartisan support from 53 cosponsors, including 24 Republicans and 11 members
of the Finance Committee. Hatch is not a cosponsor. An identical House bill -
H.R. 747, introduced by Rep. Erik Paulson (R-Minn.) - has 295 co-sponsors.
Portman's
amendment would cut federal excise taxes on domestically produced beer and
distilled spirits and allow greater access to a credit for the wine excise tax,
which ranges between $1.07 and $3.40 per gallon.
