Bill Text: HI HB1554 | 2012 | Regular Session | Introduced

Hawaii House Bill 1554 (Prior Session Legislation)

Introduced

Bill Title: Liquor Tax; Beer

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced - Dead) 2011-12-01 - Carried over to 2012 Regular Session. [HB1554 Detail]

Download: Hawaii-2012-HB1554-Introduced.html

HOUSE OF REPRESENTATIVES	H.B. NO.	1554
TWENTY-SIXTH LEGISLATURE, 2011
STATE OF HAWAII

A BILL FOR AN ACT

relating to the liquor tax.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

SECTION 1. The legislature finds that this State is one of the most expensive states in the union in which to manufacture beer, which is primarily the result of the high costs of importing ingredients and materials to the State. The small brewery industry in this State currently provides direct jobs to approximately three hundred local residents. However, the number of craft breweries in the State has been in decline over the past decade due to the high costs associated with local beer manufacturing. Although the federal liquor tax law provides rates that are approximately sixty-one per cent lower for small brewery operations, the State does not have similar provisions to help foster a local small brewery industry.

The purpose of this Act is to reduce the tax burden on manufacturers of beer within the State to promote more consistency with current federal liquor tax laws.

SECTION 2. Section 244D-4, Hawaii Revised Statutes, is amended by amending subsection (a) to read as follows:

"(a) Every person who sells or uses any liquor in the State not taxable under this chapter, in respect of the transaction by which the person or the person's vendor acquired the liquor, shall pay a gallonage tax which is hereby imposed at the following rates for the various liquor categories defined in section 244D-1:

For the period July 1, 1997, to June 30, 1998, the tax rate shall be:

(1) $5.92 per wine gallon on distilled spirits;

(2) $2.09 per wine gallon on sparkling wine;

(3) $1.36 per wine gallon on still wine;

(4) $0.84 per wine gallon on cooler beverages;

(5) $0.92 per wine gallon on beer other than draft beer;

(6) $0.53 per wine gallon on draft beer;

[On] For the period July 1, 1998, [~~and thereafter,~~] to June 30, 2011, the tax rate shall be:

(1) $5.98 per wine gallon on distilled spirits;

(2) $2.12 per wine gallon on sparkling wine;

(3) $1.38 per wine gallon on still wine;

(4) $0.85 per wine gallon on cooler beverages;

(5) $0.93 per wine gallon on beer other than draft beer;

(6) $0.54 per wine gallon on draft beer;

On July 1, 2011, and thereafter, the tax rate shall be:

(1) $5.98 per wine gallon on distilled spirits;

(2) $2.12 per wine gallon on sparkling wine;

(3) $1.38 per wine gallon on still wine;

(4) $0.85 per wine gallon on cooler beverages;

(5) $0.93 per wine gallon on beer other than draft beer manufactured outside of the State;

(6) $0.54 per wine gallon on draft beer manufactured outside of the State;

(7) $0.35 per wine gallon on beer other than draft beer manufactured in the State;

(8) $0.20 per wine gallon on draft beer manufactured in the State;

and at a proportionate rate for any other quantity so sold or used."

SECTION 3. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.

SECTION 4. This Act shall take effect on July 1, 2011.

INTRODUCED BY:	_____________________________

Report Title:

Liquor Tax; Beer

Description:

Establishes separate liquor tax rates for beer manufactured in the State and beer manufactured outside of the State.

The summary description of legislation appearing on this page is for informational purposes only and is not legislation or evidence of legislative intent.