Demorest approves by-the-drink alcohol tax

The City of Demorest instated a by-the-drink alcohol excise tax on beer, wine and distilled spirits at their Tuesday night meeting. The three percent sales tax will be imposed on drinks purchased at restaurants, bars and retailers within the city.

“I don’t think, per drink, it [the tax] is going to deter anyone from purchasing beer, wine or liquor,” Councilman Shawn Allen said. The tax is estimated to bring in some revenue for the city, but it isn’t expected to be a large amount. One business told Demorest City Attorney Thomas Mitchell they believed their establishment might bring in an additional $50 in tax revenue with the new tax.

This is a very common tax to implement in a municipality. According to Mitchell, he hasn’t worked with any cities or towns that haven’t implemented a similar excise tax.

“That’s not a tax, as far as I’m concerned, that’s generated by the government,” Mayor Rick Austin said. “[This is] a self-imposed ‘I-want-a-beer tax.’ [If you] want a beer, pay for it.”

The council voted unanimously to approve the tax.