Congressmen Seek to Cut Excise Taxes on Distilled Spirits
Two Congressmen introduced a bill to cut taxes on distilled spirits. Sponsors of “HR 2520: Distillery Innovation and Excise Tax Reform Act of 2015,” Rep. Todd Young (R-IN) and Rep. John Yarmuth (D-KY) both represent states with significant distillery interests.
[adrotate banner=”6″]Yarmuth obviously represents the distilling state of Kentucky, but Young’s Indiana is ripe with distilleries, including Huber’s Starlight Distillery and MGP Ingredients.
According to a press release, the Congressmen worked with the Distilled Spirits Council and the American Craft Spirits Association to pursue the decrease of the current tax rate of $13.50 per proof gallon to $2.70 per proof gallon on the first 100,000 gallons for all distillers. The bill sets a rate of $9.00 per proof gallon on all spirits above the 100,000 gallon threshold, the press release said.
The two trade groups agreed that these rates should apply to all distillers regardless of size, and to imported spirits as well as domestic products, the release said.
Similar bills have been introduced before. They’ve never passed.