Hudson tours local distillery for Small Business Week

MT. PLEASANT—On Tuesday, May 1, U.S. Rep. Richard Hudson (R-NC) toured Southern Grace Distilleries in Mt. Pleasant to learn more about their operations and discuss implications of the new tax cuts.

Hudson said the Tax Cuts and Jobs Act is encouraging economic growth, specifically at local breweries and distilleries by significantly lowering the federal excise tax for breweries making fewer than 2 million barrels per year and by lowering the federal excise tax distillers pay per gallon for the first 100,000 gallons of spirits produced. Hudson also highlighted Southern Grace Distilleries’ significant impact on the economy and community in recognition of Small Business Week.

“Our smaller local distilleries and breweries are huge economic drivers,” he said. “This tax cut has already made a big impact and made it easier for them to buy new equipment, expand, hire more people and continue to invest in our community. For Southern Grace Distilleries, they’ve already been able to expand their tasting room and gift shop. That’s great news for this incredible local company.

“I’m impressed by what Leanne and her team have built here with a lot of hard work and passion. I look forward to following their growth for years to come.”

For distilleries, the Tax Cuts and Jobs Act reduces the federal excise tax from $13.50 to $2.70 per gallon for the first 100,000 gallons of spirits produced or imported annually.

"The reduction in the federal excise tax has allowed us to hire additional staff, increase our whiskey production, expand our visitor center and invest in marketing, which is critical to the growth of our Conviction Small Batch Bourbon brand," Southern Grace Distilleries CEO Leanne Powell said. "At the end of last year, our bourbon was available in North Carolina, South Carolina and Washington, D.C. Today, you can also find Conviction Small Batch Bourbon in Louisiana, Illinois, Oklahoma and Connecticut.

“We couldn't be happier and appreciate Richard taking time to see our operation."