Craft Beer and the Excise Tax

This article discusses a bill proposed by two senators, one republican and one democrat, that would lower taxes for small craft brewers around the United States. The idea behind this tax would be to help these smaller breweries make more money, allow them to hire more employees, and to encourage growth within the industry. This would also allow small brewers to compete better against large industrial breweries that dominate the market, but pay relatively low taxes on the massive amount of beer they produce.


“An economic impact study by Dr. John Friedman at Harvard University found that the bill would generate $183.1 million in economic activity in the first year and almost $1.04 billion over five years and would also create nearly 5,230 jobs in just the first year.”


  1. drew Said,

    December 10, 2013 @ 9:00 pm

    Personally, I am a big fan of this bill because it is always nice to see small businesses do well. Also, a lot of local/small business beer is much better than the big name brands which are mass produced. Since these big companies have more control of pricing they can sell their beer for cheap, which is more appealing to the college student per say. When we discussed the chapter on monopolies we learned how difficult it can be for small businesses to succeed when they really cant compete with the monopolies within their market. With the support of lower taxes, they will have a greater chance to survive in the market. Otherwise, they would be hopeless.

  2. weinstem Said,

    December 13, 2013 @ 12:58 am

    I found this article interesting due to the recent shift towards small business ownership. In most communities, small businesses have been increasingly supported by local communities. This effort supports a trend towards small business expansion by limiting taxes on smaller companies. This gives more opportunities for firms to enter the market greatly improving the outcome of many small businesses.

  3. Jota Biirkonnen Said,

    December 17, 2013 @ 6:36 pm

    Interesting article.

    Give a reduction in taxes to new and small craft breweries brings more competitiveness and diversifies the market.

    In Spain big and small breweries pay the same pay the same tax for different productions of beer. I think it is not fair.

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