Wednesday, May 21, 2008

Proposed NC Beer Tax Increase


There have been a couple articles floating around NC about the propose tax increase on beer. You can see this article using the links below...

http://projects.newsobserver.com/under_the_dome/n_c_has_fourth_highest_beer_tax

and

http://www.bizjournals.com/triangle/stories/2008/05/12/daily6.html?f=et85&ana=du_B

Keep in mind that NC already has the 4th highest beer tax in the land. The increase is proposed at $0.04 per "can" (see 12 oz serving, can or bottle), which translates to an 80% increase. While $0.04 doesn't sound like a deal breaker on face value, you have to look at this on a percentage basis. What if the government proposed increasing your property tax by 80%? The only "Sin Tax" that makes sense to me is on cigarettes, but that's a different topic altogether.

With a budding local craft beer industry on the heels of the growing NC wine industry, I don't know why a tax increase at this time makes any sense. The industry is growing, which automatically means a larger base for tax revenue. The local and state governments should be advertising these industries to increase tourism, which will again create larger tax revenues. Embracing craft beer and promoting the incredible breweries we have in the great state of NC is much more positive way of increasing tax revenues without penalizing anyone. The local economy already sucks with manufacturing taking a nose dive and beer is one of the few pleasures a working man (or woman) can affordably enjoy.

I propose that the government -local, state and federal - quit wasting our tax dollars and subsequently finding ways to take more out of our pockets to make up for their waste. I guess I am a Libertarian at heart and hearing about increased government control or increased tax rates really irks me. We all need to start embracing education and responsible enjoyment of craft beer, promoting and elevating the image of beer, and using this industry to improve tourism and create jobs. This would be the right way to increase tax revenue for NC.

No comments: