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New York State Wine Excise Tax up 58%

If Gov. David Paterson’s proposed budget is passed, the state wine tax will go up nearly 58%. State Senator Michael Nozzolio, (R-Fayette) who called the budget as a whole a “disaster”, went onto say the increase in the wine excise tax in particular “will cost jobs”, wineries will sell less product, fewer people will be working in the wineries, and fewer people will be growing grapes as a result of the tax”. The excise tax on beer is only increasing 27% and the disparity between the two taxes was “one of the big issues,” according to Nozzolio, and one that “we should have had an opportunity to discuss in open conference.” By Nozzolio’s count there are some 160 wineries in the Finger Lakes alone. “I would like to know why the wine industry was singled out,” he said. “That industry is growing jobs in New York State. Why now place this tax? What do you ground it on? What kind of disadvantage will you put on New York wines?”

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