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  • Illinois House Considering Alcohol Tax Increase 
    Reported by: Web Producer

    Thursday, May 14, 2009 @09:32pm CDT

    The Illinois House is mulling over a new proposal to raise the tax on alcohol by a nickel a drink.
    The five-cent increase would apply to a bottle of beer, a glass of wine, or a shot of liquor bought at a store, restaurant, or bar.
    Lawmakers say boosting the tax on booze could slow down underage drinking and bring in over 250-million dollars.
    Under the proposed tax, that money would go straight to addiction and mental health services, which have had budget cuts the last few years.
    Democratic State Representative Sara Feigenholtz says the plan will offer a lifeline to social services that have been given an anchor.
    Republican Dave Winters says the tax will cost drinkers just a nickel each time at the bar, but will have a big impact for people needing treatment.
    There's no guarantee that an alcohol tax increase would go to such programs.
    Raising the liquor and wine tax has also been been floated as a way to pay for new roads and school construction.
    This new proposed tax increase comes fairly late in the game.
    A plan to raise the cigarette tax by one-dollar a pack has been slowly moving through the capitol since January and is held up in the House.
    Lawmakers last raised the tax on alcohol ten years ago.
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