Issue link: http://winesandvines.uberflip.com/i/742839
20 WINES&VINES November 2016 WINE INDUSTRY NEWS QST offers its clients……. Professionally fabricated stainless tanks 35 years of tank fabrication experience Performance & reliability guarantees Custom designs & modern features Quick & competitive tank project pricing On site tank repairs & modifications Special application tanks of all sizes "In stock tanks" from 500 to 10,000 gallons 510 Caletti Ave. Windsor, Ca. 95492 Phone 707-837-2721 or Toll-Free 877-598-0672 www.qualitystainless.com Company Website winetanks@aol.com email contact/sales info Custom Fabricated Tanks for the perfect size & fit… or Ready to Ship "Stock Tanks" Either way QST is ready to assist our clients! Call QST today for information or pricing! QUALITY STAINLESS TANKS W ashington, D.C.—Senate Bill S.1562 is the first legislation put before Congress designed to reform the federal excise tax system for all three major alcohol groups—wineries, breweries and dis- tilleries—across the United States. The bill originally was co-sponsored by Sens. Ron Wyden of Oregon and Roy Blunt of Missouri, and as of Sept. 30, it had an addi- tional 50 co-sponsors signed on to support it in the U.S. Senate. The parallel bill in the House of Representatives (H.R. 2903) was introduced by Reps. Erik Paulsen of Minnesota and Ron Kind of Wisconsin and now has a total of 284 co-sponsors. Known as the Craft Beverage Modernization and Tax Reform Act, the legislation contains new regulations for the beer, wine and distilled spirits industries, and is focused on changes to the federal excise tax system. Currently, the excise tax on wine is based on alcohol content and carbonation level and varies between $1.07 and $3.40 per gallon. Small domestic wineries that produce 250,000 gallons (105,000 cases) or less may be eligible for a "Small Producer Tax Credit" usually equal to 90 cents per gallon on the first 100,000 gallons, with the benefit being phased out between 150,000 and 250,000 gallons. The provision in the new law changing the tax credits also redefines the level of alcohol permitted in table wines from 14% to 16%. Wines with up to 16% alcohol by volume would qualify for the $1.07 tax rate, while the rate for wines with alcohol levels between 16% and 21% would remain $1.57 per gallon. Under existing law, still wines containing 0.392 grams of carbon dioxide per 100ml of wine has usually been taxed at $1.07 per wine gallon. Wines above this level were defined as "sparkling wine" and were taxed either at $3.30 or $3.40 per wine gallon. The new legislation increases the level of carbon dioxide permitted to 0.64 grams of CO 2 per 100ml of wine for wines produced primarily from grapes or solely from honey and water (mead), that do not contain any other fruit and are no more than 8.5% alcohol by volume. —Linda Jones McKee Majority of Elected Officials Support Excise Tax Reform Act TAX REFORM ACT The legislation eliminates the phase- out of the small producer tax credit and establishes a new credit system for wine produced in or imported to the United States: • $1 credit for the first 30,000 wine gal- lons produced; • 90-cent credit for the next 100,000 wine gallons produced (30,001-130,000); • 53.5-cent credit for the next 620,000 wine gallons produced (130,001- 750,000); • Above 750,000 gallons, all wine is taxed at the regular rate of $1.07; • The tax credit may be used for naturally sparkling wines.