Beer lovers aren't going to be happy with new change to craft beer..
Starting Tuesday, craft breweries in Pennsylvania will have to pay a new tax.
According to a report by KDKA, the state will begin imposing a "use tax" on beer that is sold directly to consumers at breweries.
What we know about this new tax:
- This tax is different than a sales tax and is not on all beer.
- It will be 1.75 percent in Allegheny County and 1.50 percent elsewhere.
- The tax is calculated by multiplying 25 percent of all retail sales by the local sales tax.
Unfortunately, many businesses say they have no choice but to pass along the hike to customers.
Meaning = The price of beer is going up for you!
Example - A $6 pint would go to $6.10.
While that doesn't seem like a lot to you, the tax gives craft breweries a hard hit, which then intern requires us as consumers to pay more to make up for it.
Breweries don't want to pay the tax, arguing that it would be about four times more than the sales tax restaurants, bars and grocery stores pay, because those retailers pay it at wholesale. Their competitors said it wasn't fair that breweries weren't collecting any tax on retail sales.
When all is said and done, all you really need to know is if you're a craft beer fan, you will be paying more for craft beer at local breweries.
