That’s 20.5 percent when you buy your bottle of gin from a store. Income per capita in the state is the 11th highest in America at $54,579. I don’t think prices at the state-run stores are particularly high but still see no reason that state should be running liquor stores. The primary excise taxes on alcohol in Washington are on wine, beer, and liquor (which includes most types of hard alcohol). After accounting for inflation, only Alaska, Hawaii, Illinois, New Mexico, and Washington (because of its new tax) have increased their alcohol excise taxes over the last 35 years. The WhereBy.Us Creative Studio helps clients big and small engage locals, through campaigns that use creative marketing, storytelling, events, and activations to build community, conversation, and impact. SEATTLE — The state of Washington has the 4th highest gas tax in the country next to California, Pennsylvania, and Illinois. All the rates are based on Dollars Per Gallon. For more information on the sale of spirits in Washington State, visit our Privatizing spirits sales in Washington State page. Washington's sales tax can go as high as 9.5 percent, depending on how much local governments add to the state rate of 6.5 percent. Ranked 11th highest. It's obscenely high. But the high taxation is taking a toll on those small, independent distilleries, Steven said. The spirits sales tax is based on the selling price of spirits in the original package, according to the state’s Department of Revenue website. Taxes are lower in those states. Two dollars per gallon in Missouri. The state tax data was gathered by the Distilled Spirits Council of the United States – DISCUS and assembled by TaxFoundation.org into a nice state by state map to show you the differences. The tax rate for sales to consumers is 20.5 percent. Spirits are taxed the least in Wyoming and New Hampshire, where government-run stores have set prices low enough that they are comparable to having no taxes on spirits. Need a lawyer? While the privatization did create an added fee, Washington state’s tax rate was still the highest in the country in 2011 at $26.70, before that initiative went into effect in 2012, according to the Tax Foundation. The spirits sales tax is a tax on the selling price of spirits in their original container. Other reasons the tax is so high? Ranked 20th highest. (And it’s slightly lower at $2.4408 per liter for restaurants and bars). Washington does not collect income tax. $7.63. Definitely not the same as the general sales tax. Washington state has the highest spirits excise tax rate at $32.52 per gallon, followed by Oregon ($22.75), Virginia ($19.93), Alabama ($18.27), and Utah ($15.38). So, do the states with the lowest taxes listed above actually have the lowest liquor prices? The term "spirits" includes any beverage containing alcohol obtained by distillation, including wines with more than 24 percent alcohol by volume. Washington Wine Tax - $0.87 / gallon Washington's general sales tax of 6.5% also applies to the purchase of wine. All taxes and fees were rolled into that price. Private liquor sales commenced at midnight back on June 1st, 2012 and after being controlled for decades by Washington State, are now being cared for by private businesses. But while we tax our spirits at $31.48 per gallon, we tax our wine at $0.87 per gallon (ranked 25th in the country) and our beer at $0.26 (ranked 24th in the country), according to the Tax Foundation. When you buy a drink at a restaurant or bar, it’s 13.7 percent. If you have a waiver to file a paper return, report the sales on the Spirits Sales Tax Addendum. Washington State Liquor Sales: A Field Guide to Privatization The unanimous vote approving Initiative 1183 is in full effect. And that’s based on the volume of spirits being sold in the original package. Before, in Washington’s no-frills liquor stores, the shelf price was the cash register price. There are two types of spirits (liquor) taxes: a spirits sales tax and a spirits liter tax. What is the spirits sales tax? You’re paying $31.48 in taxes on every gallon of liquor you buy – that’s the highest in the country, according to national think-tank The Tax Foundation. The next 0.5% is also the same for everyone — this is the “first half” sales tax under RCW 82.14.030(1) that has been enacted by every city and county and goes into the city or county general fund for appropriation according to local budget policy. Gasoline, Cigarette, and Alcohol Excise Tax Rates By State ; Alabama Excise Taxes. That equals $3.7708 per liter. Then there’s another tax: the spirits liter tax. “So we rely more heavily on other so-called ‘sin taxes’ that tax things like alcohol, cigarettes, and now marijuana, to bring in revenue,” he said. Washington has always had high liquor taxes, but when Washington state privatized liquor six years ago, the initiative was designed to make sure the state didn't lose any money. What is the spirits sales tax rate? In terms of tax revenue and selection, it appears Washington was better off keeping liquor sales state-ran. The five states with the highest taxes on hard liquor are: State Excise Tax on Hard Liquor (dollars per gallon) Washington: 14.27: Alaska: 12.80: Illinois: 8.55: Florida: 6.50: New York: 6.44: The five states with the lowest taxes on hard liquor are: State Excise Tax on Hard Liquor (dollars per gallon) Maryland: 1.50: Kentucky: 1.92: Missouri: 2.00: Colorado: 2.28: Texas: 2.40: Talk to a Tax Attorney. COVID-19 business relief is available. Since spirits purchases made by licensed on-premises retailers are for resale, their wholesale spirits purchases have a lower spirits sales tax rate. Spirits liter tax is based on the volume of spirits being sold in the original package. Washington has relatively high taxes on alcohol compared to other states in the United States . The fact is: Certain products carry an especially high ‘sin tax.’ Some sin taxes are still pretty low — like $0.02 per gallon on beer in Wyoming. Washington has the highest spirits tax in the United States at $32.52 per gallon. The group found that liquor taxes and fees here total $35.22 a gallon. Note: The regular retail sales tax does not apply to sales of spirits unopened in the original container; however, it does apply to sales of spirits by the drink (glass). Washington has always had high liquor taxes, but when Washington state privatized liquor six years ago, the initiative was designed to make sure the state didn’t lose any money. 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