What Is The State Beer Tax Where You Live?

Most people aren’t going to base their home state solely on the state beer tax (though it isn’t the worst idea in the world). However, it does serve to remind us all that common household and recreational items do vary based on location.

Tobacco, sugary beverages, gas, beer. These are just some of the products we use every day that have a cost which varies based on location. The last one may be near and dear to several hearts.

All fifty states impose some sort of tax on beer. That cost varies based on location as seen in the graph below.

state beer tax

When looked at on a per gallon basis, state beer tax ranges from $0.02 in Wyoming to $1.29 in Tennessee. That’s right, Tennessee has the highest state beer tax in the country. Of course, this is only state tax. When accounting for federal tax and sales tax, a typical case of 24 12-ounce bottles of beer comes with an average of $6 worth of taxes.

Why, Tennessee, Why?

There are many reasons why state and local taxes are imposed. For example, it’s hard to worry about Tennessee’s $1.29 in state beer tax when you live in a state with no state income tax.

At the same time, residents of California may want to hold off on celebrating their low state beer tax of $0.20 per gallon when their state income tax is 13.3%.

For the most part you’ll notice most of the higher state beer taxes are in the southern states. These states boast hefty religious populations, notably Baptists, who frown on alcohol consumption. Northern states, many of which opposed prohibition, have lower state beer and alcohol taxes despite a relatively higher cost of living.

Where Do You Want To Have a Beer?

Cost of living varies widely by state and even more-so by city. That’s why City vs City is a powerful tool for anyone looking to change locations. Our cost of living calculator examines after-tax income, expenses, as well as state and local taxes.

The result is a side by side comparison of two cities. No, we don’t factor in state beer tax, but we will give you an accurate look at the cost of living in  your chosen cities. And that’s something we can all drink to!