The American beer industry supports 1.75 million jobs, contributes nearly $79 billion in wages and benefits each year to American families, and generates $253 billion for the U.S. economy.
"Beer lifts us up beyond partisanship, and I want to thank the broad coalition of members of Congress from across the country and from both sides of the aisle for supporting this commonsense legislation that will provide much-needed relief to America's brewers and beer importers," said Jim McGreevy, President and CEO of the Beer Institute, which represents brewers, beer importers and supply industries. "Now that a majority of both the House and the Senate support the legislation, we look forward to Congress taking up the bill and moving it to President Obama's desk to become law."
The Beer Institute and the Brewers Association are collaborating closely to pass the bill, which was introduced in the Senate by Senators Ron Wyden (D-OR) and Roy Blunt (R-MO). The House companion bill (H.R. 2903), introduced by Representatives Erik Paulsen (R-MN) and Ron Kind (D-WI), has received official support from 283 members of the House of Representatives. A complete list of Craft Beverage Modernization and Tax Reform Act co-sponsors in the Senate can be found here and the House here.
Specific provisions of the bill include:
- Reducing the federal excise tax to $3.50 per barrel on the first 60,000 barrels for domestic brewers producing fewer than 2 million barrels annually.
- Reducing the federal excise tax to $16 per barrel on the first 6 million barrels for all other brewers and all beer importers.
- Keeping the excise tax at the current $18 per barrel rate for over 6 million barrels.
- Reducing bonding and filing requirements for the 90% of American breweries that pay less than $50,000 per year in federal excise taxes.
- Expanding the list of ingredients that could be automatically included in beer without federal government approval.
- Allowing small, unaffiliated brewers the ability to collaborate on new beers, and giving them the flexibility to transfer beer between breweries without tax liability
The Hop Growers of America, the Can Manufacturers Institute, Glass Packaging Institute, the National Barley Growers Association, and the National Corn Growers Association have also endorsed the legislation.
The Beer Institute is a national trade association for the American brewing industry, representing both large and small brewers, as well as importers and industry suppliers. First founded in 1862 as the U.S. Brewers Association, the Beer Institute is committed today to the development of sound public policy and to the values of civic duty and personal responsibility: www.BeerInstitute.org. Connect with us @BeerInstitute and on Facebook.
The Brewers Association is the not-for-profit trade association dedicated to small and independent American brewers, their beers and the community of brewing enthusiasts. The BA organizes events including the World Beer Cup®, Great American Beer Festival®, Craft Brewers Conference & BrewExpo America®, SAVOR℠: An American Craft Beer & Food Experience, AHA National Homebrewers Conference, National Homebrew Competition and American Craft Beer Week®. The BA publishes The New Brewer magazine and its Brewers Publications division is the largest publisher of contemporary and relevant brewing literature for today's craft brewers and homebrewers.
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SOURCE Beer Institute