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| SPONSOR: | Maes | DATE TYPED: | 02/16/99 | HB | |||
| SHORT TITLE: | Decrease Microbrewers' Liquor Excise Tax | SB | 461 | ||||
| ANALYST: | Eaton | ||||||
| Subsequent
Years Impact |
Recurring
or Non-Rec |
Fund
Affected | ||
| FY99 | FY2000 | |||
| $ (35.5) | Recurring | General Fund | ||
| $ (12.5) | Recurring | DWI Grant Fund | ||
(Parenthesis ( ) Indicate Revenue Decreases)
SOURCES OF INFORMATION
Regulation and Licensing Department
Taxation and Revenue Department (TRD)
SUMMARY
Synopsis of Bill
This bill would reduce the liquor excise tax on microbrews from $0.25 per gallon to $0.08 per gallon.
FISCAL IMPLICATIONS
The Taxation and Revenue Department (TRD) estimates the impact to be $46.0, affecting the General Fund and the DWI Grant Fund.
In New Mexico, the maximum amount of beer a microbrew operation is permitted to produce annually is 150,000 gallons. At the current tax rate, the maximum amount collectable from one microbrew operation is $37,500. This legislation would reduce the maximum amount to $7,200.0 - a sixty-eight percent reduction in the tax rate.
JBE/gm