The Alberta tax hike would apply to all brewers but Alberta brewers would get a subsidy to offset the tax hike's impact



The B.C. government is studying ways to respond to what it considers a discriminatory tax mark-up in Alberta against B.C. craft brewers.

The Alberta government announced earlier this month that, starting August 5, its mark-up tax on all brewing companies will be $1.25.

B.C. breweries that produce less than 20 million litres currently pay $0.10 per litre.

It also announced that Albertan breweries would get subsidies to offset the impact of the tax hike.

“We’re going to look at the remedies that might be available,” B.C.’s parliamentary secretary for liquor reform told Business in Vancouver July 29.

“That’s underway. Really, it’s disappointing because we should have less barriers and not more barriers.”

Yap did not directly respond to whether the province would consider a tit-for-tat approach, and instead reiterated that he believes that Alberta’s violate trade law.

“We have an agreement. It’s called the New West Partnership between the provinces of Alberta, Saskatchewan and B.C.”

“This action runs counter to that agreement and discriminates against B.C.’s craft breweries. It’s a vibrant sector of about 120 brewers that employs 2,500 people directly.”

gkorstrom@biv.com



@GlenKorstrom

