The various Federal Alcohol Excise Taxes aren’t exactly consistent:
| Product |
Tax |
Tax per Package |
| Beer |
Barrel (31 gallons) |
12 oz. can |
| Regular Rate |
$18 |
$0.05 |
| Reduced Rate |
$7 on first 60,000 barrels for brewer who produces less than 2 million barrels. $18 per barrel after the first 60,000 barrels. |
$0.02 |
| Wine |
Wine Gallon |
750ml bottle |
| 14% Alcohol or Less |
$1.071 |
$0.21 |
| Over 14 to 21% |
$1.571 |
$0.31 |
| Over 21 to 24% |
$3.151 |
$0.62 |
| Naturally Sparkling |
$3.40 |
$0.67 |
| Artificially Carbonated |
$3.301 |
$0.65 |
| Hard Cider |
$0.2261 |
$0.04 |
| (1 $0.90 credit, or for hard cider $0.056, may be available for the first 100,000 gallons removed by a small winery producing not more than 150,000 w.g. per year. Decreasing credit rates for a winery producing up to 250,000 w.g. per year.) |
| Distilled Spirits |
Proof Gallon * |
750ml Bottle |
| All |
$13.50 less any credit for wine and flavor content. |
$2.14 (at 80 proof) |
| * A proof gallon is a gallon of liquid that is 100 proof, or 50% alcohol. The tax is adjusted, depending on the percentage of alcohol of the product. |
| Tobacco Products |
1000 units |
Pack of 20 |
| Small Cigarettes |
$19.50 |
$0.39 |
| Large Cigarettes |
$40.95 |
$0.82 |
| Small Cigars |
$1.828 |
$0.04 |
| Tobacco Products |
1000 units |
Each |
| Large Cigars |
20.719% of sales price but not to exceed $48.75 |
$0.05 maximum |
| Tobacco Products |
1 lb. |
1 Ounce Tin or Pouch |
| Pipe Tobacco |
$1.0969 |
$0.07 |
| Chewing Tobacco |
$0.195 |
$0.01 |
| Snuff |
$0.585 |
$0.04 |
| Roll-your-own Tobacco |
$1.0969 |
$0.07 |
Notice the odd categories for wine — especially carbonated — cider, etc. The tax on distilled spirits seems elegant by comparison to the rest. I wonder why tobacco companies don’t market more “small cigars” in place of cigarettes…
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