The American Beverage Institute is speaking out against D.C. Councilman Jim Graham’s proposed alternative to keeping bars open later to raise revenue. The Ward 1 councilman is pitching a new alcohol tax that would raise the cost to about roughly 6 cents per drink.
The trade association notes the proposal comes on top of the council’s alcohol tax hike last year from 9 to 10 percent. ABI suggests repealing the city’s “antiquated” blue laws instead of further increasing the burden on residents.
“Allowing Sunday sales is a much better way to raise revenue for the city than increasing the excise tax on alcohol,” ABI Managing Director Sarah Longwell said in a news release. “Sunday sales will increase tax revenue without requiring residents and the recovering hospitality industry to pay a higher tax rate.”
The association also noted the District already imposes one of the highest tax rates on alcohol in the country and if it was raised, it would “jeopardize” an industry that employs 7 percent of D.C.’s workers — or 49,200 jobs.
The provision is expected to come up as D.C. Council committees vote on their budget recommendations Wednesday.
