HARRISBURG – Today, the Pennsylvania House of Representatives passed legislation authored by Rep. Natalie Mihalek (R-Allegheny/Washington) seeking 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 for passing this important legislation,” said Mihalek. “Local breweries in Pennsylvania are small businesses that support hundreds of communities, which provide thousands of jobs and every year contribute millions in tax revenue statewide. A pour of their beer should not cost more at the source than it does a local restaurant.”
“As lawmakers, we shouldn’t pick winners and losers in the private sector and we shouldn’t create an unlevel playing field,” continued Mihalek. “Our Commonwealth has a rich and diverse brewing history and we should be celebrating that, not hindering it.”
House Bill 1549 now goes before the state Senate for consideration.
Representative Natalie Mihalek
40th Legislative District
Pennsylvania House of Representatives
Media Contact: Brooke Haskell