Call for Craft Beer Tax Cut

June 9, 2009 New Zealand Taxation  No comments

Nelson man, Mic Dover, is calling for tax cuts to craft brewers in New Zealand, to see the industry survive.

The comments come in response to possible law reforms which will see excise tax raised on alcohol in New Zealand. The Law Commission is currently reviewing legislation and laws in regards to alcohol in New Zealand, and subsequently releasing a discussion paper on its findings. This in itself could have been cause for concern, but was recently elevated by comments made by Law Commission president Sir Geoffrey Palmer in April and more recently in Nelson, which amount to his belief that the damages of binge drinking in New Zealand can be addressed via raising of excise taxes.

Co-owner of the Nelson craft brewery pub, Free House, is thoroughly opposed to this. He has already circulated a petition opposed to the raising of taxes. It currently has 250 signatures.
Free House co-owner, Eelco Boswijk, has stated that this will drive New Zealand craft brewers out of the market as they will no longer be able to compete with bigge brewers. He also claimed that local and family owned brewers return much more into the local economy then their internationally owned or sourced counterparts.

The solution to this, according to Mic Dover, is to instate a tax cut, or at least not raise taxes, for craft-breweries in New Zealand.