Governor Bush Signs Bill Striking Alcohol Tax; Repeal of Tax Will Boost Hospitality/Tourism Industry, Says DISCUS

6/12/2006 3:35:00 PM

To: National Desk, Tax Reporter

Contact: Ben Jenkins, 202-682-8840

TALLAHASSEE, Fla., June 12 /U.S. Newswire/ -- The Distilled Spirits Council (DISCUS) today commended Florida Governor Jeb Bush for signing into law a bill which repeals the on-premise beverage alcohol tax - a move that could generate $30 million in new economic activity in the state and potentially create 400 new jobs for Florida's considerable hospitality industry, according to a DISCUS tax analysis.

"By signing this bill, Governor Bush has taken another step forward in assisting Florida's tourism industry by reducing the industry's tax burden," said DISCUS Vice President Jay Hibbard, referring to H.B. 7105. "With all the effort Florida puts in to promoting tourism, it just makes good business sense not to balance the state's budget on the back of the hospitality industry."

Hibbard stated that these taxes have been costly in addition to adding an unnecessary extra level of taxation to distilled spirits. Taxes in the state of Florida -- one of only two states which applied a per volume tax to on-premise beverage alcohol product sales -- already make up 52 percent of the average cost of a 750 ml bottle of spirits.

A DISCUS tax analysis showed that by reducing the hospitality industry's tax burden, the state can expect to see an increase of $30 million in new economic activity, which in turn will lead to an estimated 400 new jobs.

"Florida's restaurants, bars, hotels and tourist attractions are going to get a much-needed break with the repeal of these regressive taxes, Hibbard said. "Lower taxes stimulate the economy -- which creates jobs. We commend Governor Bush and the legislature for passing this new law and repealing the unfair beverage alcohol tax."

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DISCUS is the trade association representing producers and marketers of distilled spirits sold in the United States. Website: http://www.distilledspirits.org


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I'd like to know when the Florida Legislature is going to pass similar legislation regarding tobacco taxes, considering smoking is not permited in the majority of venues that charged this particular tax...........

As the DISCUS press release states, and it's something we have all known, regressive taxes hurt businesses and jobs, repeals of them stimulate the economy.

I am sure the Mother Against Drunk Drivers is thrilled. Maybe it is something the blood line of the Bush Family. Maybe his brother will visit more now that it is rumored he is back at the bar again.

The govenor will probably next increase their tobacco taxes in order to recoup what the state is loosing from this tax reduction.

One fo the founders of MADD got so fed up with the way that group has headed she left, and actually now works for (or at least used to) DISCUS. She heads up their responsible drinking program.