Craft Beverage Tax Reform To Be Made Permanent
December 21, 2020
WASHINGTON, DC — WineAmerica has long taken a leadership role in advocating for the Craft Beverage Modernization and Tax Reform Act (CBMTRA), and last night learned that the essential tax benefits of CBMTRA will be made permanent as part of the year-end omnibus and Covid-19 relief package announced by Congressional leadership. The CBMTRA was initially enacted in 2017 and was set to expire on December 31, 2020.
"After WineAmerica's years of work to make permanent the federal excise tax rates under the Craft Beverage Modernization and Tax Reform Act, we are delighted that it has finally been achieved,” said Jim Trezise, President of WineAmerica. “This newfound certainty about future tax rates will let wineries confidently plan future investments in employees, facilities, and marketing, benefiting the national, state, and local economies. We thank our beverage coalition partners and the hundreds of supporters in Congress for this major breakthrough. Diversity is our Strength, Unity is our Power."
The CBMTRA reduces federal excise taxes for all American wineries. In a year of uncertainty, the certainty of knowing federal taxes won’t increase will allow the industry to focus on the challenges that the new year will bring.
The House and Senate are expected to vote on the legislation today, with the President’s signature following soon after.