State reps talk malt beverage tax credit at Allentown brewery
Legislation would let more Pennsylvania breweries use and manage Malt Beverage Tax Credits to support local businesses and community gathering spaces.
The State House Finance Committee met at Sherman Street Beer Company in Allentown on Thursday to hear insight from experts in the state’s craft brewing industry, including local brewers and leaders of the Brewers of Pennsylvania trade association, on legislation that would update Pennsylvania‘s Malt Beverage Tax Credit program.
The bill introduced by state Rep. Ana Tiburcio, D-Lehigh, is geared to allow more local breweries to take advantage of Pennsylvania’s Malt Beverage Tax Credit and provide flexibility to manage their credits.
At the hearing, Tiburcio said that supporting the craft brewing industry in Pennsylvania benefits local businesses that encourage community positivity.
“As a business owner myself, I am devoted to empowering small businesses in the Lehigh Valley, especially businesses that can revitalize our communities,” Tiburcio said. “Breweries serve as important community gathering spaces where people go to grab locally made food and drinks and connect with friends, family and colleagues. Most of us have one in our district. This bill would help us preserve those craft breweries, ensuring that people have more options than the largest national beer brands.”
The Malt Beverage Tax Credit Program is available to breweries that make capital expenditures to purchase or upgrade their facilities or equipment up to a maximum of $200,000.
There are up to $5 million in credits available annually for Pennsylvania brewers, but currently are unable to be transferred, sold or refunded if left unused after three years.