Virginia Distillers Association Working to Lower Tax Rates on Spirits
Distillers across Virginia are working to cut the cost customers pay for a bottle of liquor.
CHARLOTTESVILLE, Va. (WVIR) - Distillers across Virginia are working to cut the cost customers pay for a bottle of liquor.
The Virginia Distillers Association is made up of six liquor producers. They meet with members of Congress with the goal to lower tax rates on whiskey, vodka, rum and more.
The Virginia group is pushing for the Craft Beverage Modernization and Tax Reform Act. If approved, the act would lower the federal excise tax for producers of spirits, beer and wine nationwide for the first time since the Civil War.
Instead of all Virginia distillers having to pay almost $14 per gallon, the cost will depend on how big the business is. Distillers say this helps small companies grow and lowers the price of their products.
"So we have more money to invest in our facilities to hire more people, buy more equipment and then hopefully we'll mature into the larger companies and we'll pay more and more taxes as we get larger,” Ian Glomski of Vitae Spirits said.
Right now, the tax rate for liquor in Virginia is about $2.75 per bottle or liter.
The association will continue to meet with Virginia’s senators this summer and are hopeful the act could be in place within the next year.