MADISON, Wisconsin (AP) – A new report suggests people are buying significantly more alcohol as the COVID-19 pandemic continues.
State alcohol excise tax revenue for the fiscal year ended June 30 totaled $ 73.8 million, up almost 17% from $ 63.3 million from the previous year, according to preliminary data from the State Revenue Department cited in the Wisconsin Policy Forum report. .
If preliminary data holds true, the increase would be the largest percentage increase the state has seen since 1972, according to the report. The percentage increase in alcohol tax collection exceeded 2.4% in just one year between 2009 and 2020, according to the report.
Excise taxes on alcohol in Wisconsin are based on volume sold, not price. Beer is taxed at around 6.5 centers per gallon. Wine is taxed at 25 cents per gallon if it has an alcohol content of 14% or less.
The report did not examine sales tax revenue on alcohol.
Most states saw an increase in alcohol tax revenue in fiscal year 2021. The report says the increase in alcohol consumption is “perhaps not surprising” given the growing stress for personal health, job losses, academic challenges and lack of leisure activities during the pandemic.
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