The GOP’s new tax reform bill is being praised by the beer industry, which stands to save a significant amount of money over the next two years.
The new tax code provides two years of federal excise tax relief to American brewers and beer importers through the H.R.1 Tax Cuts and Jobs Act. A “Craft Beverage Modernization and Tax Reform Act” was part of the bill.
“Federal excise tax relief for brewers and beer importers will help small brewers create jobs and invest more in their businesses,” said Brett Joyce, president of Rogue Ales, in a statement. “Competition within the beer industry is thriving with more than 5,000 permitted breweries in the U.S. And over 1,300 breweries having been added to the U.S. Marketplace over the past two years alone. Federal excise tax relief on beer will help support these small businesses.”
The Brewer’s Institute, a national trade organization for the beer industry, estimates that the excise tax relief provided in the new tax code could potentially create $320 million in annual economic growth for the industry.