State Sales Taxes and St. Patrick’s Day: How Much Green Stays in Your Wallet?

If you’re celebrating St. Patrick’s Day this Friday, chances are there’s a party involved.  Purchasing food and drink, or in search of the perfect outfit for the occasion? Read on for an overview of state sales taxes for these items:

Beer and Spirits State Excise Taxes

The Tax Foundation annually maps excise taxes on beer and distilled spirits across all 50 U.S. states. In 2016, Wyoming levied the lowest excise tax on beer ($0.02 per gallon).  For distilled spirits, Wyoming and New Hampshire tied for the lowest rates, which The Tax Foundation explains as a result of both states operating state-controlled liquor stores that “largely rely on ad-valorem markups rather than taxes.”

In terms of the highest rates, Tennessee topped all states in 2016 at $1.29 per gallon of beer. Washington levied $33.54 per gallon of distilled spirits.

Food State Sales Taxes

Stocking up on snacks for your party guests? Your menu could be exempt from state sales taxes.

Earlier this month, the Center on Budget and Policy Priorities published its 2017 U.S. map of grocery-related sales tax. The majority of states, and the District of Columbia, “exempt most food purchased for consumption at home.” An additional 10 states, meanwhile, either “tax groceries at lower rates than other goods” or “tax groceries fully but offer credits or rebates offsetting some of the taxes paid on food by some portions of the population.” Only three states—Alabama, Mississippi and South Dakota— “apply their sales tax fully to food purchased for home consumption.”

Apparel State Sales Taxes

Finally, if you’re on the hunt for the perfect pop of green to wear, that t-shirt or pair of socks likely is subject to state sales taxes. The Tax Foundation’s 2015 map of state rates on clothing, however, highlights exceptions from coast to coast.

Curious about other tax questions? Get right to the source with CCH® IntelliConnect® and other research and learning solutions from Wolters Kluwer.


Wolters Kluwer Tax and Accounting

Wolters Kluwer Tax and Accounting is a leading provider of software solutions and local expertise that helps tax, accounting, and audit professionals research and navigate complex regulations, comply with legislation, manage their businesses and advise clients with speed, accuracy and efficiency. Wolters Kluwer Tax and Accounting is part of Wolters Kluwer N.V. (AEX: WKL), a global leader in information services and solutions for professionals in the health, tax and accounting, risk and compliance, finance and legal sectors. We help our customers make critical decisions every day by providing expert solutions that combine deep domain knowledge with specialized technology and services. Wolters Kluwer reported 2016 annual revenues of €4.3 billion. The company, headquartered in Alphen aan den Rijn, the Netherlands, serves customers in over 180 countries, maintains operations in over 40 countries and employs 19,000 people worldwide. Wolters Kluwer shares are listed on Euronext Amsterdam (WKL) and are included in the AEX and Euronext 100 indices. Wolters Kluwer has a sponsored Level 1 American Depositary Receipt program. The ADRs are traded on the over-the-counter market in the U.S. (WTKWY).

All stories by: Wolters Kluwer Tax and Accounting

Leave a Reply

Your email address will not be published.