Craft brewers – including one in Eugene – are toasting a part of the contentious GOP tax bill recently signed by President Trump.
The Craft Beverage Modernization and Tax Reform Act is a provision that enjoyed bipartisan support on Capitol Hill.
Jim Montgomery of Sam Bond’s Brewing sums up its benefit.
“What it basically does is takes the federal excise tax for all craft brewers and cuts it in half, from 7 dollars a barrel to $3.50 a barrel," Montgomery tells KLCC.
"I think I speak for most small craft brewers, in saying this is a helpful incentive to reinvest in the company.”
The Brewers Association figures the new law will save small brewers $80 million a year. For Sam Bond’s of Eugene, that means a couple thousand more dollars to invest in new equipment or packaging.
All other brewers will see their federal excise tax drop from $18 to $16 a barrel.
Oregon Senator Ron Wyden sponsored the bill. Representatives Peter DeFazio and Greg Walden co-sponsored the House version.
Copyright 2018, KLCC.