Let’s crack open another nice cold one here in the Big Apple.

Indeed, most of us can have a lot of cold ones this summer in New York and in the region. That’s because the Empire State, usually on most things a highly taxing place, actually has some of the lowest beer taxes in the nation. And neighboring states also apparently like suds.

That frothy analysis comes from the Tax Foundation. It released a study on beer taxes in the 50 states. New York ranked 11th lowest at 14 cents per gallon in beer taxes. New Jersey was eighth at just 12 cents.

Pennsylvania had the fourth lowest brew imposts at just eight cents. Connecticut was just 23 cents.

The national beer tax average is 33.1 cents per gallon, according to the Tax Foundation.

Taxing Here and There

These taxes, which are levied at various points of beer production and distribution, can be important, especially for those price conscious beer guzzlers who are “having more than one.”

That’s because, according to the Beer Institute, “Taxes are the single most expensive ingredient in beer, costing more than labor and materials.”

But if you really want to get sloshed on a budget, then head for the mountains, the Grand Teutons. The Tax Foundation says that Wyoming has the lowest beer taxes in the nation—just two cents per gallon.

Protecting Our Own

Why is New York and the Northeast this one time in the low tax bracket?
“The Northeast has a high concentration of breweries and there is a tendency of these states to protect their industries,” according to Katherine Loughead, a policy analyst with the Tax Foundation.

She adds one can see the same trend in otherwise high tax California. There lawmakers protect their local industry and keep wine taxes low.

Left Coast? Right Coast? It doesn’t matter

So no matter what coast you live on here in the United States, whether you’re a brew person or someone who likes vino, it’s a good day to live the high life.

Cheers.

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Gregory Bresiger
Gregory Bresiger

Gregory Bresiger is an independent financial journalist from Queens, New York. His articles have appeared in publications such as Financial Planner Magazine and The New York Post.