Board Meeting Attendees are Updated on the Alcohol Tax Increase

As part of Governor Corzine’s 2010 budget, the excise tax on wine and spirits increases by 25% effective August 1, 2009. The New Jersey Restaurant Association (NJRA) along with other alcohol groups strongly opposed this “hidden” tax increase which will impact the industry’s bottom line, especially concerning during the challenging economy. The tax is projected to raise approximately $22 million. Some members have reported that they are concerned about passing along this tax by increasing prices for consumers, others simply can’t absorb the increases on top of other increases in the cost of doing business. At the recent meeting of the New Jersey Restaurant Association Board of Directors, Allied Director, Kurt Elsaesser, CPA of Citrin Cooperman outlined in detail the specific impact of the tax increase. He also provided an explanation of the new Public Law 2009, c. 71 that he obtained from the Department of Treasury, Division of Taxation. Restaurant, bar and other hospitality industry venues in New Jersey who have questions about the tax increase or other business issues should contact the NJRA at 800.848.6368. One of the many benefits of membership and support for the industry provided by the organization is guidance on tax policy, wage and hour regulations and generally all matters pertaining to running a foodservice business in NJ. Board Meetings are held quarterly. The meetings are open to all foodservice industry professionals and Allied Members of the organization. A variety of business and educational topics are covered during the meetings. The next meeting of the NJRA Board is taking place on October 6, 2009 at TheWestwood in Garwood.

Alcoholic Beverage Tax Increase Information