Report: Tennessee, Kentucky rank high on beer excise tax rates

Published 3:39 pm Tuesday, June 11, 2024

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By Jon Styff

The Center Square

Tennessee is atop the list and Kentucky is third in excise rate per gallon of beer, according to data compiled by the Tax Foundation.

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Tennessee beer is taxed $1.29 per gallon while Kentucky is charged 93 cents, with Alaska ($1.07 per gallon) in between.

The calculation includes a $35.60 per barrel wholesale tax in Tennessee and 10% Kentucky barrel tax.

The rates are figured based upon the taxes on the off-premise sales of 4.7% alcohol beer in 12-ounce containers.

Wyoming (2 cents) and both Wisconsin and Missouri (6 cents) have the lowest rates.

There are 16 states with beer excise tax rates that vary based on alcohol content, place of production, size of container or place purchased.