The cost of spirits

[cowdery]

Taxes on alcohol, especially spirits, are outrageous because it is considered socially beneficial to make alcohol much more expensive than it needs to be, considering the cost of production and delivery. This is manipulation of the tax code for social engineering purposes and it is supported equally by liberals and conservatives.

Prohibition itself made strange bedfellows of liberals and conservatives, liberals who believed the abolition of alcohol would improve the human condition, uplifting the poor in particular, and conservatives who believed alcohol consumption was a sin and usually occasioned additional sinning. Plus drunk workers were bad for industrial productivity.

One could argue that high taxes help keep alcohol legal, since however much politicians might like to earn points by attacking Big Alcohol, they are loath to give up all those tax dollars.

It should be noted that most, though not all, taxes on alcohol are taxes on the alcohol content, meaning that the tax bite for the cheapest vodka in the store is the same, in absolute dollars, as for the most expensive one.

With state and local taxes, some are based on price, so buyers of premium spirits do pay more, but most are based on alcohol content, without regard for the product's price.

So the difference in price among products that have the same alcohol content is generally not attributable to taxes.

[tommyboy38]

I would be so much easier and cheaper to just distill our own stuff.

This is exactly what I was just thinking!!
We need to start up the SB distillery and d lots of quality control by sampling evry bottle we produce.

[OscarV]

It should be noted that most, though not all, taxes on alcohol are taxes on the alcohol content, meaning that the tax bite for the cheapest vodka in the store is the same, in "absolute dollars", as for the most expensive one.

(I added " " in the above quote)

My question then is this, what does that convert to in stolichnaya dollars?

Sorry, couldn't resist.
Real question now, is the Fed tax on beer and wine the same amount per proof as spirits?

[ratcheer]

Real question now, is the Fed tax on beer and wine the same amount per proof as spirits?

No, the chart linked to in one of the early posts in this thread shows how all three are taxed, by state.

http://www.taxfoundation.org/taxdata/show/245.html

Tim

[ThomasH]

Another component that drives up the cost of premiium vodka is the marketing costs. The product and package are minor costs. Beer and wine aren't taxed at anywhere near the rate that distiled spirits are. It has been stated previously that distilled spirits are the most over taxed product in America. Until recently, the federal taxes on beer hadn't changed since 1951!

Thomas

[loose proton]

I would be so much easier and cheaper to just distill our own stuff.

I'm considering going into the premium brandy biz. One thing that is VERY evident is the artistry, skill, science, and experience involved in producing a quality product. You factor that in, and you'll find its easier to buy good bourbon than to make it at home. My name is not Russel or Beam or Handy or Van Winkle or ... so there's no way I know how to make the good stuff without a huge amount of costly practice.

[Thesh]

Don't know what happened with this
http://democrats.assembly.ca.gov/mem...2AD24PR01.aspx


It's crazy how you can say "290% increase on spirit tax, 1100% on win tax, 400% on beer tax" and have people say that they are OK with it. They already raised the cost by 1% with the increase in sales tax.

I hate this state...

[barturtle]

There's been an 1100% increase in the win tax? Maybe that explains the Raiders' performance this season.

[ErichPryde]

There's been an 1100% increase in the win tax? Maybe that explains the Raiders' performance this season.

..................

[Thesh]

There's been an 1100% increase in the win tax? Maybe that explains the Raiders' performance this season.

OK, now explain the previous 5 seasons...