— The House today approved Tax Code legislation encompassing an initiative authored by Rep. Natalie Mihalek (R-Allegheny/Washington) to address Pennsylvania’s “taproom tax.”
Mihalek’s legislation, House Bill 1549
, was drafted in response to the Pennsylvania Department of Revenue’s recent state tax bulletin, which indicated that breweries that bypass wholesalers and sell beer directly to consumers in their tasting rooms and retail storefronts would be required to issue the 6% state sales tax at the point of sale.
House Bill 1549 creates a standard formula to apply the 6% tax at 25% of the retail value. Mihalek’s proposal provides the parity that industry-wide stakeholders across the state have argued for.
“I am grateful to my colleagues in the House and Senate for passing this important legislation as part of the Tax Code included in this year’s state budget,” said Mihalek. “As lawmakers, we should not be picking winners and losers in the private sector and we should not create an unlevel playing field. Our Commonwealth has a rich and diverse brewing history and we should be celebrating that, not hindering it.”
Mihalek’s legislation was passed as part of the larger Tax Code, which will head to the governor’s desk as part of the state budget.
Representative Natalie Mihalek
40th Legislative District
Pennsylvania House of Representatives
Media Contact: Brooke Haskell