Alcohol association CEOs back Senate beverage bill

Alcohol association CEOs back Senate beverage bill
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Officials from alcohol associations celebrated the introduction to the Senate of a bipartisan bill to reduce excise taxes for beer and wine producers on Wednesday.

The Craft Beverage Modernization and Tax Reform Act, introduced by Sens. Roy BluntRoy Dean BluntGOP braces for Trump's emergency declaration The border deal: What made it in, what got left out Contractor back pay not included in shutdown deal MORE (R-Mo.) and Ron WydenRonald (Ron) Lee WydenDem lawmaker: 'Trump's presidency is the real national emergency' Dems introduce bill to take gender-specific terms out of tax code to make it LGBT-inclusive 8 surprising times our intel community spied on US citizens MORE (D-Ore.), aims to level the playing field for craft beverage makers.

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It was first introduced in 2015 and was included in the GOP tax bill in 2017. It expires at end of 2019 but this bill would make it permanent.

“The legislation is not just economically smart but enables Main Street brewers to do what they do best: create and innovate,” Bob Pease, president and CEO of the Brewers Association, said in a press release. 

The other leading beer association also backs the legislation. 

“Making federal excise tax relief permanent for our nation's brewers and importers will enable them to continue to innovate, invest in their businesses, support jobs, and give back to their communities,” Jim McGreevy, president and CEO of the Beer Institute, said.

The bill impacts business for wine manufacturers as well. 

Jim Trezise, president of WineAmerica, said the legislation as part of the GOP tax bill “enhanced our industry's ability to contribute even more by channeling tax savings into purchases of new equipment, additional employees, increased wages, expanded distribution, and facility enlargements.”

Bobby Koch, president & CEO of the Wine Institute, added that wineries have been using their tax savings to invest in the future.

The Distilled Spirits Council noted that the provision marked the first federal excise tax reduction for distilled spirits since the Civil War.

“[It] enabled distilleries to invest back into their businesses and communities across the United States,” CEO Chris Swonger, added.

The American Craft Spirits Association and the U.S. Association of Cider Makers also backed the legislation on Wednesday.