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Mo. Bill Would Hike Alcohol Taxes to Pay for Recovery
February 7, 2006

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News Summary

A Missouri legislator says the state's beer, wine and liquor taxes should be increased dramatically in order to pay for alcohol prevention and recovery programs, the St. Louis Post-Dispatch reported Feb. 5.

"Alcohol abuse is a growing problem, and we've got to do something to stop it," said Rep. Bill Deeken (R-Jefferson City), whose measure would quadruple the tax on beer -- currently the second-lowest in the country -- and double the state tax on wine and liquor.

Similar measures have been proposed in the past -- including by Deeken -- and defeated in the Missouri legislature, in part because of opposition from St. Louis-based Anheuser-Busch. But Deeken said that awareness about alcohol abuse is on the rise, which could boost support for the measure. A House committee plans to vote on the bill this week.

If Deeken's bill passes, the tax increase would appear as a referendum item on the November state ballot. The anticipated $44 million annually raised from the tax would be deposited into a fund for alcohol treatment, prevention, and law enforcement. The state, with federal help, currently spends about $73 million annually on alcohol programs.

Anheuser-Busch continues to oppose Deeken's plan. "The vast majority of beer drinkers enjoy our products responsibly and in moderation," the company said in a prepared statement. "These individuals don't impose additional costs on society or on government and, therefore, don't deserve to be singled out to pay higher taxes." 

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