I think it’s safe to say all of us here at BS Brewing support the state’s desire to help people in need of drug treatment. However, we are all strongly opposed to a horrible idea coming out of Salem to make our craft brewers and beer enthusiasts foot the bill.
The proposal for the next Oregon Legislative session seeks to increase Oregon’s beer taxes 13-fold, from $2.60 per barrel to $34.60 per barrel. If passed, Oregon would have the highest beer taxes in the country, suffocating growth and innovation in the industry. Here’s why you’re going to keep hearing about this until it dies a very deserving death:
- Fairness – The tax would only affect beer, not wine or spirits. Why? Seems pretty unfair to favor one beverage over another.
- Growth- The tax targets an emerging local industry with enormous growth potential. The current proposal calls for this tax to kick in after 200,000 barrels, which makes it sound like it’s targeted at big national brewers like A-B. But Oregon is already home to two brewers that exceed the threshold and two that are very close. What is the state’s way to reward the companies that have led the way, generated jobs and tax revenue? By taxing those breweries between $2.5 and $6.2 million in taxes for that 200,001st barrel. Hardly an incentive to keep growing. Just imagine if the technology or athletic-wear sector had seen a tax increase of this magnitude in 1990.
- Job creation – Currently, 1 out of 400 Oregonians between ages 18 and 64 works in the beer industry. And with the potential for growth on the horizon, that number could become even higher. Think about this, if your business or industry saw a 1,300% increase in taxes, how safe would your job be?
Better writers than us have also been weighing in. Gary Corbin breaks it all down over at his excellent BrowsingBrews blog. Be sure to check out the comment from Gary Fish, president of Deschutes Brewery. Gary, if you’re reading The Champagne of Blogs too, drop us a comment, we love the Inversion.
For more information, check out the Oregon Brewer’s Guild and become a SNOB (if you’re not already) to help them fund their battle against the legislature.
Finally, we didn’t tell England to hit the road more than 200 years ago for nothing. Find out who your legislators are and tell them to kill this bill.
I don’t want my Wassail from Walla Walla and I don’t want Inversion from Idaho!
