Brewpubs Bracing For State To Start Collecting Sales Tax

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ALLENTOWN, Pa. (AP) - For Pennsylvania residents, a glass of craft beer at the local brewpub could soon get a little more expensive.

Beginning in June, the state will start collecting 6 percent sales tax from brewers. That has some worrying that passing the cost on to customers could hurt business.

The tax initially was supposed to be collected starting on Jan. 1, but opposition from brewers helped delay it until June. They are expected to continue to seek changes.

Some craft brewers tell The Morning Call they are concerned about competition from bars that are able to sell their beer without the added tax.

The state revenue department tells the newspaper the tax isn't new, but that it's merely a clarification of existing liquor laws that require breweries to collect sales tax.