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Saturday, May 03, 2008

Drinks & Taxes 2008 v8: California Assemblyman Wants to Boost Beer Tax by 1,400 Percent

California Assemblyman Jim Beall, wants to raise the tax on beer. That's nothing new given the recent movement by a number of states to balance budgets one drink at a time. What is new is that Rep. Beall's tax takes a pretty big bite, going from 2-cents a can to 30-cents a beer.

The 1,400 percent increase would mean the new tax on a six pack would be $1.80. It could raise $2 billion for the state's treasury.

Rep. Beall says that the tax hike would go to cover the costs that beer has on society. In order for the bill to become law, it would require a two-thirds super majority vote of the California legislature and it would face a public referendum.

The anti-alcohol Marin Institute has praised the proposal, while the College Republicans at San Francisco State University launched a protest against the measure.

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