As you enjoy a beer this Memorial Day Weekend, don’t forget that NM has high taxes on beer

Just in time for the start of the summer cookout season, our friends at the Tax Foundation have updated their map of beer excise taxes:

Perhaps unsurprisingly, New Mexico has the highest (tied with Utah) beer excise taxes in the West (not including Alaska and Hawaii). This map doesn’t tell the full story as small brewers have been exempted from the State’s onerous taxes on beer, but New Mexico also (uniquely) charges gross receipts taxes on beer production.

That’s not to say that New Mexico hasn’t had success in cutting taxes on some brewers as I pointed out in a 2014 article.

New Mexico isn’t in the Baptist South of the old Confederacy where excise taxes are highest. We’re not dominated by the LDS religion which frowns upon alcohol as is Utah. So, why is New Mexico’s tax on beer so high? Perhaps it is our State’s near-religious adherence to big government.

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4 Replies to “As you enjoy a beer this Memorial Day Weekend, don’t forget that NM has high taxes on beer”

  1. For decades, NM has had one of the worst dwi rates in the country. The beverage of choice has, more often than not, been beer. Perhaps the high beer taxes were imposed by the Dem controlled state legislature over the years in the hope that high taxes would make the product more expensive thereby discouraging consumption, thereby reducing the dwi rates.

    1. It hasn’t been able to affect DWI rates either.

      We need to look at our liberal Judges who keep allowing convicted offenders loose to prey on the innocent time and again.

      No consequences equal no change in behavior.

    2. Charles, true point however,don’t you think at best, it was bit naive to think this would have any effect on consumption and at worst, just another way to fill the coffers? Call me cynical but why not make the punishment a bit harder and stick to it.

    3. Perhaps this may have been the case although hiking taxes on beer would seem to be an extremely inefficient means of attacking the DWI issue.

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