Analysis: Ohio Beer Taxes Among Lowest

2019-06-19T10:25:26+00:00

COLUMBUS — Ohio’s beer excise tax rates are on the low end of the spectrum, according to an analysis by the Tax Foundation.

Ohio’s 18 cents per gallon tax ties it with West Virginia for 34th highest rate in the country. Among other neighboring states, Ohio’s rate was higher than Pennsylvania (8 cents, 46th highest) and Indiana (12 cents, 43rd), but lower than Kentucky (87 cents, fourth) and Michigan (20 cents, 29th).

Overall rates ranged from a low of 2 cents per gallon in Wyoming to a high of $1.29 in Tennessee.

Additionally, the federal government collects beer excise taxes that range from 11 cents to 58 cents per gallon based on production, location and quantity.

The Tax Foundation said about 40 percent of beer’s retail price is dedicated to covering taxes.

“Taxes are the single most expensive ingredient in beer, costing more than the labor and raw materials combined,” according to a statement by the Beer Institute.

— Brandon Klein, Ohio Tavern News