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Alcohol Retailers Fight New Mass. Tax
August 4, 2009

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News Summary

A new Massachusetts tax on liquor, wine and beer went into effect this weekend, but the state's alcohol sellers are working to reinstate a longtime sales-tax exemption on alcoholic beverages, the Associated Press reported July 31.

As part of a budget-balancing plan, state lawmakers raised the Massachusetts sales tax from 5 percent to 6.25 percent, and also applied the tax to alcoholic drinks along with other goods and services. Backers expect the alcohol tax to raise up to $80 million in annual revenues for the state.

The Massachusetts Package Stores Association, which claims that the tax will hurt sales, is gathering signatures for a ballot initiative to restore the exemption. If the petition drive succeeds, the question would appear on the 2010 ballot.

COMMENTS ON THIS ARTICLE:

Posted by Steve Tryder on 05 Aug 09 02:52 PM EDT
Congratulations to our legislators in MA for finally removing the alcohol salestax exemption. Why should this industry receive the privilege of an exemption that others including over-the- counter medications do not receive? The product of alcohol is a luxury item and also the cause of addiction that costs taxpayers billions of dollars each year in healthcare and addiction treatment expenses. This additional tax money is intended to be used for addiction treatment and prevention that is vastly underfunded in MA. The alcohol industry itself should also be required to grant money to the states for the problems it creates and the lives it ruins, just as the tobacco industry does. An alcohol exemption is just another example of corruption and influential lobbying that never should have happened in the first place. The liquor industry needs to get real and stop being such crybabies.

Posted by Rachel on 05 Aug 09 04:40 PM EDT
I agree with Steve. Why does the alcohol industry think they are above getting their taxes raised? The government raises my taxes! The gambling industry gives grant money to the state for the problems it causes too. Why should the tax payers fund treatment for addicts and the alcohol industry gets off scott free?

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