Pennsylvania imposes new “use tax” on beer in state breweries

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MANSFIELD (PA)- The long list of taxable food and beverages continues to grow this month, and joining that list now is beer, and beer beverages in Pennsylvania to be exact.

18 News visited the Yorkholo brewery in Mansfield Pennsylvania and spoke with the brewery co-owner on how the new tax could potentially affect business.

We spoke with Jarrod York, whose brewery is one of the many hit by the new “use tax” on beer beverages that recently went into affect earlier in the month.

The state has imposed the new use tax on beer that is sold directly to consumers at breweries. The new tax however, is different than a sales tax and is not on all beer. It will be a 1.75% tax in Allegheny county and a 1.5% tax elsewhere.

What’s unique about this particular tax is the department of revenue is not allowing the tax to appear on customers receipts.

Originally the tax was supposed to roll out in January of this year, and it was going to be a six percent tax.

The breweries of Pennsylvania then lobbied to have more time to better prepare, so it was pushed back to July of this year which gave them 6 months during which they were able to lobby that percentage down from 6% to the 1.5% which it currently sits at now.

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