House Bill 3312 proposes to raise taxes on beer, cider, and wine produced in Oregon by 1,200%, 500%, and 558%, respectively, by 2028.
The bill was introduced in the state's House of Representatives on February 21 and referred to the behavioral health, healthcare, and revenue committees on February 23.
- If passed, Oregon's new tax rate would be the 2nd highest in the country after Tennessee.
- Oregon's existing beer tax rate of $0.08 per gallon is among the lowest in the country.
- The Oregon Beverage Alliance, a group of 78 members, including craft breweries, wineries, distillers, distributors, and trade groups, opposes the bill.
- The group claims local businesses already suffer from inflation, employee shortages, natural disasters, and the pandemic.
- Tax increases would only make it harder for them to invest in hiring and expansion.
- Oregon Recovers, a public policy group fighting addiction, supports the bill.
- They claim that raising taxes on alcohol would help raise $177M annually by 2023 to fund addiction treatment services and education.