This week I am sure you are aware of the current battle with he State of Washington and the possible raising and extending the beer tax. Making for one of the more progressive and highest beer taxes in the country. So I asked the brewers/breweries the following question and below is there answers. I got an overwhelming response. I am posting every reply I received.
The question – The Governors proposed plan is to Extend and Raise the Beer Tax here in WA State. Was hoping you could tell me how you feel this proposal would affect your brewery.
Georgetown Brewing – 
I think it is safe to say that the simple answer is doubling or quadrupling the tax means a lot less money for breweries to reinvest in their business making growth less likely and, in terms the government cares about, putting less money into the economy.
Without reinvestment, breweries won’t have the funds to buy new equipment or hire more workers, which means they can’t produce more beer. If they can’t make more beer, they won’t buy more hops from the farmers in Yakima or malt from Vancouver. Business that sell beer – distributors, bars, restaurants, stores – can’t grow. This issue affects every single district in this state. Every county has a brewery and people who’s job is dependent on a brewery in one way or another.
What makes the industry so vibrant and exciting and noteworthy is the number of breweries and the variety we have in this state. They’ve been able to grow because they have been able to reinvest in their business and, in turn, their communities. The opportunity for growth is there, craft beer is a booming business, but if Washington State brewers can’t grow to meet that demand because they are hindered by higher taxes, out of state breweries will just fill that void. You’ll be drinking a lot more beer made by breweries that don’t invest in this state. Out of state breweries aren’t paying sales tax on the equipment or materials they buy, they aren’t paying payroll taxes, they aren’t employing workers that pay taxes here, spend paychecks here or support families here.
This tax will stifle an industry that is really just getting going, the last thing any of us needs right now.
I hope that helps. Sheesh – I think I need a beer now.
Ingrid
