Please Oppose Alcohol Tax Increase!

Is the full vote in the House today, Jeremy? I wonder if Gov. Beshear would veto it, since this bill is pretty significantly different from what he proposed ($.70 increase on tobacco, no additional alcohol taxes, etc.).

The full vote is set for today. Gov. Beshear seems to be, how should I say?, acquiescent to the will of Congress so far.

Enough to make a bourbon drinker cry:

Bourbon on the capital steps

House passes sales tax hike 66 to 34

Here's the roll-call vote results.

Also, the measure just barely passed a vote in the Senate Appropriations and Revenue Committee to move forward to the full floor.

There used to be (maybe still there) a really good burger place just outside of Morehead. It was a filthy, ditry, greasy place that sat up on a hill on the road that connects to I-64. They put the burger on a platter and piled fries all over the burger. I can't remember the name. . .so good. . .

You would be speaking of the infamous Jimbo's Big Boy (my bride is from West Liberty, KY and a graduate of MSU). No affiliation with any legitimate Big Boy restaurants. "Outstanding burgers in questionable surroundings" would have been a great marketing slogan for them. They are closed now.

THAT'S IT. Jimbo's. Thanks, Ed, and too bad they're closed. Since I was in college, everytime I head east for the holidays I'm always tempted to pull off and see if it's still there. I won't waste my time now.

Not a Kentukian (yet), I've been a provider of goods and services in two different states, but I've never heard of a "wholesale tax."

Does anybody know the purpose of doing this at the wholesale level? I suspect it's a way to hide the tax from consumers, but they still realize it's there in generally higher prices, don't they?

Also, if you buy a bottle of hootch or a beer directly from the producer, aren't you bypassing the wholesale level?

Not a Kentukian (yet), I've been a provider of goods and services in two different states, but I've never heard of a "wholesale tax."

Does anybody know the purpose of doing this at the wholesale level? I suspect it's a way to hide the tax from consumers, but they still realize it's there in generally higher prices, don't they?

Also, if you buy a bottle of hootch or a beer directly from the producer, aren't you bypassing the wholesale level?

You can't buy a bottle of distilled spirits at the distillery. You can buy beer and wine from the Kentucky makers. I don't know if they have to pass on a wholesale tax.

The wholesale tax on distilled spirits and beer was put in place 25/30 years ago because it was calculated that retailers, i.e. liquor stores and bars were not paying the proper amount of sales tax. At that time the sales tax was dropped in lieu of the sales tax. Easier to collect from the wholesalers than small business. As an owner, at that time, of both a bar and a liquor store I can assure you that neither myself or any other store owner would ever try to short the state on taxes. Or not.

Also, the measure just barely passed a vote in the Senate Appropriations and Revenue Committee to move forward to the full floor.

Argh. Why would you vote against it, then change your vote to get it out of committee? Clearly, someone was trying to play both sides.

[quote="Steve A"]Not a Kentukian (yet), I've been a provider of goods and services in two different states, but I've never heard of a "wholesale tax."

Does anybody know the purpose of doing this at the wholesale level? I suspect it's a way to hide the tax from consumers, but they still realize it's there in generally higher prices, don't they?

Also, if you buy a bottle of hootch or a beer directly from the producer, aren't you bypassing the wholesale level?[/quote

The purpose is to get the state money! I assume this is much like a value added tax scheme. Everyone who handle a good adds to its taxable value. In the wholesale cases consider it a distributor tax.

I made the call for what it's worth. I worked in state goverment for 16 years. These guys have their own agendas and they are usually not driven by the citizens of Kentucky!!!!!

You can't buy a bottle of distilled spirits at the distillery. You can buy beer and wine from the Kentucky makers. I don't know if they have to pass on a wholesale tax.

Actually you CAN buy distilled spirits ( eg. Bourbon) at the distillery- they sell it at the gift shops at all the Bourbon Distillery tours. There is a special exception in the legistation designed specifically for this. But here's the ironic part: the distillers have to sell it to a wholesaler, who then delivers it to the distillery's gift shop. In the case of Heaven Hill, ( and others) that means the liquor goes from Bardstown to Louisville, to then be delivered to the Bourbon Heritage Center- which is 250 feet from where it's bottled. That way the tax still gets paid....

Deb

Bbbbbbbrrrrrrrrr....I'm trying to follow these thread/s and it's making me swimmy-headed. Think I'll go out to the garage and have a smoke and a beer. Sorry to interupt. Ya'll carry on.

You can't buy a bottle of distilled spirits at the distillery. You can buy beer and wine from the Kentucky makers. I don't know if they have to pass on a wholesale tax.

Actually you CAN buy distilled spirits ( eg. Bourbon) at the distillery- they sell it at the gift shops at all the Bourbon Distillery tours. There is a special exception in the legistation designed specifically for this. But here's the ironic part: the distillers have to sell it to a wholesaler, who then delivers it to the distillery's gift shop. In the case of Heaven Hill, ( and others) that means the liquor goes from Bardstown to Louisville, to then be delivered to the Bourbon Heritage Center- which is 250 feet from where it's bottled. That way the tax still gets paid....

Deb

That's also why they won't give you more than 1 for the tasting!

You can't buy a bottle of distilled spirits at the distillery. You can buy beer and wine from the Kentucky makers. I don't know if they have to pass on a wholesale tax.

Actually you CAN buy distilled spirits ( eg. Bourbon) at the distillery- they sell it at the gift shops at all the Bourbon Distillery tours. There is a special exception in the legistation designed specifically for this. But here's the ironic part: the distillers have to sell it to a wholesaler, who then delivers it to the distillery's gift shop. In the case of Heaven Hill, ( and others) that means the liquor goes from Bardstown to Louisville, to then be delivered to the Bourbon Heritage Center- which is 250 feet from where it's bottled. That way the tax still gets paid....

Deb

That's also why they won't give you more than 1 for the tasting!

Brad,

It would seem like it, but not really. There is a separate law that allows them to taste- which restricts you to two 1/2 oz samples. Originally they couldn't do any tastings. Presumably the limit is so they can't compete with bars by tasting more, and also to restrict drunkeness.

Deb

I made the call for what it's worth. I worked in state goverment for 16 years. These guys have their own agendas and they are usually not driven by the citizens of Kentucky!!!!!

Thanks, Lisa. Let's hope that the reasonable agenda prevails, and the senate rejects the bill today.