Beer News - Potential Tax Breaks for Micros

And fair enough too. Australia's small wineries get a decent tax break via exemptions in WET tax (well deserved mind you) but there is absolutely no reason why brewers shouldn't get them as well. Let's hope the campaign by Holgate etc develope positively.

Suds Set Seek a Tax Break , Ben Oliver, 16 January 2007, Sunbury/Macedon Ranges Leader

MICRO-BREWERS are frothing at the mouth over tax breaks they say they deserve to even the playing field with wineries and encourage more players into the market.

Wineries are allowed tax breaks of up to $500,000 a year. Now Australia's boutique beer makers are pressing Canberra for equal treatment.

Natasha Holgate, director of Holgate Brewhouse in Woodend, said little brewers deserved to be treated on a par with wineries. "We pay the same amount of tax as the big breweries. In other developed countries they have breaks for smaller breweries such as in New Zealand and the US.
"Small wineries get a tax exemption and we just want to have the same level of fairness."
Holgate Brewhouse is one member of the Australian Association of Microbrewers petitioning the Federal Government for a 60 per cent rebate on excise. It wants a maximum rebate for brewers that produce at least 340,000 litres a year of full-strength beer.

Holgate can produce up to 3600 litres of beer a week but declined to disclose how much beer it would make in an average year.

The plan has received support from small business minister Fran Bailey, who is also the member for the local Liberal seat of McEwen. Mrs Holgate said a rebate would spur regional employment, tourism and attract new brewers. "For a place like us in a regional area it would help us expand and take on employment," she said.

"There are also a lot of people interested in visiting brewhouses, so besides manufacturing more beer there would also be the tourism component."

Holgate Brewhouse started in 1999. It employs four casual staff and 13 full time-part time workers.