Bill > S04139

This bill increases alcohol taxes across several categories and introduces a new provision for tax allocation. Specifically, the legislation raises taxes on various alcoholic beverages: beer taxes will increase from 14 to 24 cents per gallon, still wines and sparkling wines will rise from 30 to 51 cents per gallon, and liquor taxes will increase significantly, with taxes on liquors containing up to 24% alcohol rising from 67 cents to $1.23 per liter, and other liquors increasing from $1.70 to $2.26 per liter. The bill also introduces an annual adjustment mechanism for alcohol taxes tied to the Consumer Price Index (CPI-U), which will automatically increase or decrease taxes each July 1st based on changes in the consumer price index, though such adjustments will only apply if they exceed 10%. Most notably, the bill mandates that 100% of the alcohol tax revenues, including taxes, interest, penalties, and fees, will be allocated directly to the state's general fund, which could potentially increase state revenue. The tax changes will take effect on April 1, 2027, giving businesses and consumers advance notice of the upcoming tax increases.

Budget and Finance

https://www.nysenate.gov/legislation/bills/2025/S4139