The Distilled Spirits Council of the United States (DISCUS) slammed a misguided proposal by Chicago Mayor Brandon Johnson to increase alcohol taxes by more than 34%, a move that would harm an already decimated hospitality industry.
The proposed increase is part of Mayor Johnson’s budget proposal released late yesterday.
“The hospitality industry has been relentlessly hit with economic challenges over the last four years starting with the pandemic and followed by supply chain disruptions, staffing shortages and record inflation,” said Andy Deloney, Distilled Spirits Council of the United States Senior Vice President and Head of State Government Relations. “Chicago alcohol taxes are already drastically higher than any of the surrounding areas, and increasing them by another 34% will drive consumers away. This proposal is misguided because the loss in alcohol sales also means a loss in sales tax revenue completely negating the mayor’s goal.”