E-Malt.com News article: USA, NY: New bill to strengthen state’s craft brewing industry

Recently, the New York State Assembly passed legislation that would lend a hand to small breweries, stimulating growth and their ability to contribute to the local economy, Buffalo Rising reported on July, 02.

The bill has two objectives: to provide tax relief to small breweries and also to allow farms to grow, brew and sell locally made beer.

"New York's breweries are well on their way to becoming national and even international leaders in producing delicious craft beer," said Assemblyman Sean Ryan. "Their rise means more jobs for New Yorkers when we most desperately need them. The Assembly is doing its part to boost small breweries so they can continue to grow and thrive."

In March, a tax exemption for New York's small breweries that had been in effect since 1989 was ruled improper, thus putting a great strain on the growth of the industry. The new legislation passed by the Assembly will provide tax and fee relief by providing a tax credit or refund of 14 cents per gallon for New York brewers on the first 500,000 gallons produced within the state, and another 4.5 cents-per-gallon credit for the next 15.5 million gallons. In addition, the legislation provides an exemption from the labelling fees imposed on batches of fewer than 1,500 barrels.

"Small breweries are small businesses, and New York has a responsibility to make sure they receive the tax relief they once relied on, so that they can keep their doors open and continue creating jobs," Ryan said.

"When the Shelton Brothers lawsuit led to the rescinding of the tax exemption and label approval fee waiver, New York brewery owners large and small were understandably pretty upset," said Ethan Cox, president of Community Beer Works. "Thankfully, the New York Brewer's Association and specifically President Dave Katleski were incredibly quick to lobby the Assembly and craft legislation that would restore, in essence, the ability for NYS breweries to grow and foster economic activity in New York. I would like to thank Sean Ryan and the NYS Assembly and Senate for their willingness to support our industry - the reward will be obvious at the taps of our many craft beer bars and retailers."


04 July, 2012