Sudsy

The state's brewers want a change in the beer tax:

As the law stands, the state collects a 17 percent tax on the price of beer sold to wholesalers, but under the proposed change, there instead would be a flat tax charged per “barrel” of beer sold (31 gallons), said Rich Foge, president of the Tennessee Malt Beverage Association.

The benefit to brewers: The tax would not rise as prices of beer go up with inflation, which is what happens now — and is why Tennessee’s tax has soared to the equivalent of about $37 per barrel, Foge said. That’s an increase of 30 percent over the past decade. By comparison, the Kentucky tax is about $24 a barrel, and Virginia’s is just $8.69, Foge said.