Young introduces Distillery Innovation and Excise Tax Reform Act05/27/15
Rep. Todd Young (R-IN) has introduced H.R. 2520, the Distillery Innovation and Excise Tax Reform Act, a bill that would help small and large distilleries alike grow by reducing the excise tax on distilled spirits. Rep. John Yarmuth (D-KY) joined Young in introducing the bill.
“All around southern Indiana, many new craft distilleries are popping up, creating jobs and adding to the tax base,” said Young. “But there’s a lot of red tape involved in getting a new distillery off the ground, and this bill helps reduce that burden. In addition, we have many large, established distilleries in our region of the country, and this bill will help them, too.”
Under H.R. 2520, the current tax rate of $13.50 per proof gallon would be reduced to $2.70 per proof gallon on the first 100,000 gallons of production for all distillers, and $9.00 per proof gallon thereafter. According to the Distilled Spirits Council and the American Craft Spirits Association, currently more than half the purchase price of a bottle of spirits is used for taxes and fees, making it one of the most heavily taxed products in the country.
Indiana’s 9th District includes all or parts of Brown, Clark, Crawford, Floyd, Harrison, Jackson, Johnson Lawrence, Monroe, Morgan, Orange, Scott, and Washington Counties in south central Indiana.