Kentucky Distillers: Governor's Alcohol Tax Plan Bad For Our Business, Bad For Our Families

Yahoo News ^ | 2/10/05

[Libloather]

Kentucky Distillers: Governor's Alcohol Tax Plan Bad For Our Business, Bad For Our Families
Thu Feb 10,11:16 AM ET

To: State Desk

Contact: David Wojnar, 508-662-0661, or Lisa Hawkins, 202-682-8840, or Sarah Rosen, 202-682-8857, all for the Distilled Spirits Council of the U.S., Web: http://www.distilledspirits.org

FRANKFORT, Ky., Feb. 10 /U.S. Newswire/ -- Master Distillers from Kentucky's famed bourbon distilleries today addressed the Kentucky House Appropriations and Revenue Committee to explain why Gov. Ernie Fletcher's proposal to raise taxes on beverage alcohol would hurt Kentucky's home industry, push consumers to purchase home-grown products in other states and potentially hurt their business nationwide.

"By piling on an additional six percent burden, Kentucky's tax on a bottle of our product would be the highest of any state in the country," said Bill Samuels, president and CEO of Maker's Mark Distillery at today's hearing. "This would place some Kentucky retailers at a considerable tax advantage to the surrounding states of Tennessee, Indiana and Illinois."

Other bourbon companies are worried that the statewide tax could hurt their national business. T.J. Graven, who serves as director of investor relations for the Brown-Forman Company, said today: "I am receiving calls from concerned shareholders and people in the investment community asking questions like: 'Why are Kentucky distillers being treated this way in their own back yard?'"

Fred Noe, seventh generation distiller for Jim Beam, expressed concern for his employees. "This industry is an integral part of our state's history, passed down from one generation to the next. Many of my employees have been with us for decades and their families rely on the sale of our products. I simply cannot understand why the Governor has chosen to place an additional burden on this venerable state industry."

David Wojnar, vice president of the Distilled Spirits Council of the U.S., said the Fletcher proposal would add a six percent sales tax on top of the state's already high excise tax. "This would result in triple taxation and add a huge new burden on a home state industry that employs thousands of Kentuckians." The bourbon industry brings in $2.2 billion in direct state economic activity annually.

[Libloather]

Makers Mark Bourbon

Robert Samuels arrived in Kentucky in 1780. A third-generation Scotch-Irish emigrant, he went about making just enough whisky to keep himself and a few select friends very happy. The level of craftsmanship that Bill Samuels, Sr. started over 40 years ago is still practiced at Maker's Mark Distillery today. When Bill Samuels, Sr. bought the 200-acre site in 1953, it was the Burks Spring Distillery that had begun operation in 1805. In 1980, the entire distillery was recognized by then-U.S. Secretary of the Interior Cecil Andress. He designated Maker’s Mark Distillery a National Historic Landmark. Today Maker's Mark is the smallest and oldest currently operating distillery in the nation.

[Enterprise]

Tax liberals - not liquor!

[EagleUSA]

Just tax, tax, tax...it is a dark plague and disease that is sweeping over our land WITH NO END IN SIGHT. Almost every day, more taxation. When will GOVERNMENT be held accountable, AND MAKE IT BECOME MORE EFFECTIVE AND EFFICIENT rather than putting their incompetence and lack of accountability ALWAYS ON THE BACK OF THE TAXPAYER????

[debboo]

Sorry Eagle, but I think drinking liquor is a darker plaque on our society than taxing it.

[MisterRepublican]

So now they're after Big Booze.

[EagleUSA]

Sorry Eagle, but I think drinking liquor is a darker plaque on our society than taxing it.
=======
Regardless of what the commodity is, this issue in my post IS TAXATION and its state of being OUT OF CONTROL in this country.

[o_zarkman44]

Anyone who engages in a profitable business needs to be aware that we are all in line for excessive taxation to support the freeloaders.

Government has a hungry agenda and needs more revenue.
An absolute freeze on expenditures and programs by government is the only acceptable idea. A cut has to be a cut, not a decrease of proposed budget increases, but a reduction in the overall cost of government business.
Helping themselves to more money every year has to stop.

[oilfieldtrash]

After living in Norway for the past 15 years where a bottle of vodka costs 60 dollars, and is only available at tightly controlled government liqour stores I can honestly say I agree with it.

The rate of alcoholism in Norway is low, drinking is frowned upon, and there is no culture of drink unlike the UK, or France.

The social cost of alcoholism is high in the western world,in misery and productivity and anything the government does to hinder the distribution, or sale of it I think is great.

[The Great RJ]

The anti-smoking jihad has found another target. Sin taxes like those on booze and cigarettes are relatively easy to pass because lawmakers can hide under thr guise of doing it for health and public good. However, lawmakers need to be careful for what they wish for. Raising sin taxes can cause some smokers/drinkers to quit or reduce their consumption and others to simply seek less costly sources..like bootlegging from other states.

[Old anti feminist]

I am in Ohio. Beer Cigerattes, property taxes are killing the poor homeowners. They don't care, they are millionaires, we suffer. Even Elect. is going up! Lets gang up on Taft.

[inkling]

Mmmmmm... Kentucky Bourbon.

[nothingnew]

...anything the government does to hinder the distribution, or sale of it I think is great.

Oilfieldtrash, you're a great Amerikan!

FMCDH(BITS)

[nothingnew]

...anything the government does to hinder the distribution, or sale of it I think is great.

Oilfieldtrash, you're a great Amerikan!

FMCDH(BITS)

[hermgem]

Go tell this Governor that relocation, of headquarters relocation which is where taxes are paid from to another State is an alternative.
These tax hawks always go feeding to where they think a captive prey nests.

[toddlintown]

Ya' sound like a Democrat. Social engineering.

[SVTCobra03]

Add a bottle of Blanton's and that pic would look just like my liquor cabinet. In fact, I am now so inspired I will just have to have a drink.