Sen. Kirk Pushes To Give Tax Break To Small Breweries
Lastest News Headlines:
Get Breaking News First
CHICAGO (CBS) — U.S. Senator Mark Kirk is pushing hard for a measure to give small beer breweries a tax break.
At Revolution Brewery in the Avondale neighborhood, Senator Mark Kirk said legislation would cut in half the $7-a-barrel federal excise tax small and craft breweries pay.
A Harvard study says lowering the tax will grow the craft beer segment and create jobs. The 40,000 barrels of beer that roll out of Revolution cost $280,000 in federal taxes. The Small Brew Act would cut that in half for the first 60,000 barrels a company makes.
Revolution Brewing managing partner Josh Deth says he’d use the money to buy more brew tanks.
“The tanks you saw in the brewery today cost about $50,000, so the tax savings gets me about three tanks,” said Deth.
That will allow Revolution and other craft beer makers to help meet demand here and expand their coverage.
But if small breweries are booming, why cut their taxes? Senator Kirk says in a word: jobs.
“This would really sponsor more jobs in Illinois and make sure that craft brewers like Revolution have a big shot at boosting employment in our city,” said Kirk,” said Kirk.