McAuliffe signs tax exemption for beer-making materials

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RICHMOND, Va. (NEWSPLEX) -- Governor Terry McAuliffe has signed a bill that exempts beer-making equipment and material from sales and use taxes for smaller craft breweries.

"Virginia is home to some of the best breweries in the country. I am pleased Governor McAuliffe has signed this bill into law, which will help our current craft breweries expand their operations and encourage new craft breweries to locate in the Commonwealth," said Delegate R. Steve Landes. "Small business is the backbone of our economy, and providing this exemption will allow breweries to invest in themselves, fostering expansion and the creation of additional jobs. I'm excited by the growth of specialty breweries here in the Valley and throughout the Commonwealth and believe this legislation will help these breweries prosper."

Landes introduced the bill to cover machinery, tools, equipment and materials used by licensed brewers in the production of beer and materials such as labels and boxes for packaging.

The House Bill 859, Retail Sales and Use Tax exemption will go into effect July 1.

Larger breweries like Starr Hill in Crozet were already exempt from these taxes.

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