Grady Explains: What Can Be Taxed?

According to the Department of Revenue, “Georgia Alcohol Taxes are collected by the wholesaler at time of delivery to the retailer. The wholesalers remit all taxes collected to the Department of Revenue”

Each type of spirit and wine is taxed differently, but all tax is add before the alcohol reaches the retailer. This price is added into the sale price when you buy a six pack of beer or get a margarita at a bar.

Depending on the percentage of alcohol that the beverage contains, will change the amount that beverage is taxed. For example, wines including distilled spirits, which results in an alcohol content of more than 21% alcohol by volume, is taxed as distilled spirits.

Another variant is where the alcohol is made in Georgia or out of state. For example, distilled spirits manufactured within Georgia is taxed at 70 cents per liter and alcohol manufactured outside of Georgia is taxed at $1.40 per liter.

A raise to Athens sales tax by 8% has passed down the excise tax to the customer. In prior years, increase to sales tax did not directly effect customer taxation. It would increase the wholesale to retailer taxation only.   This means if your beer at your favorite bar was $2.50, it will now cost $2.73.

This may curb drinking in the Classic City.

 

 

By: Marah Brock

 

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