Texas 2025 - 89th Regular

Texas Senate Bill SB2158

Voted on by Senate
 
Out of House Committee
 
Voted on by House
 
Governor Action
 
Bill Becomes Law
 

Caption

Relating to taxes imposed on vinous liquor.

Impact

If enacted, SB2158 will directly affect the financial obligations of producers and retailers of vinous liquor in Texas. The revised tax rates may result in increased prices for consumers, depending on how businesses choose to pass on these additional costs. The bill does not retroactively affect tax liabilities incurred before its effective date, which is set for September 1, 2025. This ensures that existing liabilities will be collected under the previous law, thereby providing a clear transition for stakeholders involved.

Summary

Senate Bill 2158, introduced by Senator Flores, proposes amendments to the existing tax structure for vinous liquor in Texas. The bill outlines specific tax rates on the sale of vinous liquor based on alcohol content, setting a tax of 20.4 cents per gallon for beverages with an alcohol content of 16% or less, and a tax of 40.8 cents per gallon for those exceeding 16%. This adjustment aims to align the tax framework with current market conditions and consumption trends.

Contention

While the bill may improve state revenue through increased taxes on vinous liquor, it is expected to spark discussions among industry stakeholders. Supporters of the bill argue that the changes are necessary for modernizing the tax code and ensuring competitive pricing structures in line with evolving consumer preferences. However, there may be opposition from retailers and consumers who could be concerned about price increases as a direct consequence of the new tax rates.

Texas Constitutional Statutes Affected

Alcoholic Beverage Code

  • Chapter 2. Civil Liabilities For Serving Beverages
    • Section: New Section

Companion Bills

TX HB3993

Identical Relating to taxes imposed on vinous liquor.

Similar Bills

No similar bills found.