On April 9 U.S. Congressman Peter Welch (D-Vt.) announced his support for bipartisan legislation to provide tax relief to Vermont’s growing small brewery industry.
“Vermont is quickly gaining a reputation for brewing some of the best and most sought-after beers in the world,” said Welch. “Our brewers exemplify Vermont’s entrepreneurial culture, but taking a brewery from concept to the first pour is a daunting challenge. The Small BREW Act will give these passionate and committed small business owners a financial boost that will help them achieve their dream while creating good local jobs.”
Welch made the announcment at the Queen City Brewery in Burlington.
The Small BREW Act (H.R. 232) would reduce the small brewer federal excise tax rate on the first 60,000 barrels produced in a year from $7.00 to $3.50 a barrel. It would also establish a new rate for beer production above 60,000 barrels from $18 to $16 per barrel for up to 2 million barrels. Only breweries with an annual production of 6 million barrels or less would qualify for these lower tax rates. It is sponsored in the House of Representatives by Erik Paulsen (R-Minn.) and Richard E. Neal (D-Mass.).
Vermont, with 41 craft breweries, has more craft breweries per capita than any other state.