Ad: [ ? ]
TODAY

Thursday, April 24

Gapers Block
Search

Gapers Block on Facebook Gapers Block on Flickr Gapers Block on Twitter The Gapers Block Tumblr


Drive-Thru
« Re-Thinking Soup Reopens @ UIC with Slow Food's President Set your TiVo for "Fresh Food or Factory Fodder?" on Can TV »

News Tue Aug 25 2009

Looking at the Upcoming Liquor Tax

You may have seen some liquor stores advertising about the upcoming liquor tax increases that take effect September 1. Today the Chicago Tribune had an article that clarified some of this advertising--apparently Binny's has called this the largest alcohol tax increase in state history, but that's not technically true.

Semantics aside, Susan Hofer, spokeswoman for the Illinois Department of Revenue, was quoted as saying the new taxes wouldn't be so bad. "When you look at the price differential for each item you buy, it's not that much," she said.

Let's look at that price differential, shall we? Beer? The tax goes up from 10.4 cents to 13 cents a six-pack. Wine? The tax per bottle is going from 13 cents to 28 cents. Spirits? That one-fifth bottle you used to pay 90 cents tax on? Going to $1.71.

Although Hofer's argument could be valid for beer and wine, it's way off when you look at spirits. Honestly, the spirits tax is almost doubled. I personally think that's a pretty big price differential, especially considering that you also pay sales tax on top of these taxes. Adding a good couple of dollars to a bottle of spirits might actually be the straw that breaks the camel's back--or in this case, closes the wallet.

Chicago Hospitality / August 26, 2009 8:21 AM

Let's put this spirits tax hike in some (ugly) perspective.

After this tax kicks in on September 1st, every cocktail in Chicago will come with at least a dime in state spirits tax. That doesn't include the 10.25% and up worth of local sales taxes.

Illinois dime a drink tax is just the latest, and one of the more offensive, cases of the tax man nickel, dime, and quarter at a time assault on your disposable income.

Henry / August 26, 2009 9:07 AM

Again you don't get it. This tax is not being treated as a pass through. Since the distributor is paying the tax, they are putting in as a cost of goods. They then apply a margin to it and that is the price that goes to the retailer. The retailer then applies their margin and that is the price of the shelf. That $0.80 increase becomes a $2.00 increase. A $10 bottle of alcohol goes up 20% to $12. Get it???

bedava oyun oyna / May 15, 2010 8:38 AM

thanks

Add a Comment




Please enter the letter k in the field below:



Live Comment Preview


Notes & Tags

Items marked with a * are required fields. Please respect each other. We reserve the right to delete any comments borne out of douchebaggery or that deal in asshattery.

Permitted tags and how to use them:

To link: <a href="http://blahblahblah.com">Link text</a>
To italicize: <em>Your text</em>
To bold: <strong>Your text</strong>

Beer Tue Mar 25 2014

When Brewers and Chefs Meet: A Love Story

By Brandy Gonsoulin

Jesse Valenciana knew what he wanted his mole-inspired stout to taste like, but he was a cook and home brewer, not a professional brewmaster. The co-founder of ManBQue, the local men's grilling and social club, and recent author needed a...
Read this feature »

 

Events

Thu Apr 24 2014
"Whiskies of the World" Dinner @ Schubas

Thu Apr 24 2014
Not Another Beer Dinner @ The Dawson

Thu Apr 24 2014
Dining Out for Life

Fri Apr 25 2014
Baconfest @ UIC Forum

Sat Apr 26 2014
Tour South Shore's Historic 71st Street

Sat Apr 26 2014
Baconfest @ UIC Forum

Sat Apr 26 2014
Biting through the Skin: An Indian Kitchen in America's Heartland @ Kendall College

Wed Apr 30 2014
Oyster and Wagyu Beef Dinner @ Frontier

Wed Apr 30 2014
Revolution Beer Dinner @ Feast


Drive-Thru on Flickr

Join the Drive-Thru Flickr Pool.


About Drive-Thru

Drive-Thru is the food and drink section of Gapers Block, covering the city's vibrant dining, drinking and cooking scene. More...
Please see our submission guidelines.

Editor: Robyn Nisi, rn@gapersblock.com
Drive-Thru staff inbox: drivethru@gapersblock.com

Archives

 

 Subscribe in a reader.

GB Store

GB Buttons $1.50

GB T-Shirt $12

I ✶ Chi T-Shirts $15