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Vermont Boosts Beer Tax

Oct 2, 2006 - Vermont will begin collecting sales tax on beer in 2007 and drinkers can blame it on the Internet.

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Vermont and several other states have joined in a "streamlined tax agreement" because they are concerned about losing tax revenue to Internet sales. The agreement allows states to collect tax from out of state vendors who sell and ship goods to the states involved.

"Here in Central Vermont a six pack is going to go up 45 cents that is going to be a noticeable increase. I think people are going to be very surprised because it is kind of like a sleeper deal," said M & M Beverage Owner Gilles Moreau.

Vermont legislators had a choice, either drop a tax on wine already in place or add the tax on beer. Under the streamlined tax agreement beer and wine are labeled alcohol and must be treated the same.


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