Hudson Discusses Tax Reform at Southern Grace Distilleries
May 2, 2018
FOR IMMEDIATE RELEASE
May 2, 2018
Hudson Discusses Tax Reform at Southern Grace Distilleries
MOUNT PLEASANT, N.C. – On Tuesday, May 1, U.S. Representative Richard Hudson (NC-08) toured Southern Grace Distilleries in Mount Pleasant to learn more about their operations and discuss how the Tax Cuts and Jobs Act is encouraging economic growth, specifically at our local breweries and distilleries by significantly lowering the federal excise tax for breweries making less 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. Rep. Hudson also highlighted Southern Grace Distilleries’ significant impact on our economy and community in recognition of Small Business Week.
Rep. Hudson toured Southern Grace Distilleries and discussed operations with Leanne Powell, President, Southern Grace Distilleries, Inc.
“Our smaller local distilleries and breweries are huge economic drivers,” said Rep. Hudson.“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.”
"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," said Southern Grace Distilleries CEO Leanne Powell. "At the end of last year our bourbon was available in NC, SC and Washington, DC. 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."
The tax relief in the Tax Cuts and Jobs Act is significant for our local breweries and distilleries. For distilleries, the legislation 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.
According to the American Craft Spirits Association’s President, Mark Shilling, “This is the largest legislative victory for our industry in modern history. For years, we have fought for excise tax fairness, and with this change our industry will see immediate benefits, including the ability to hire more Americans and increase production with new equipment. We look forward to reinvesting these critical and long overdue savings into growing our workforce, production capabilities, and tourism experiences and supporting local agriculture.”
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Issues:Economy and JobsTax Reform