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Again, New Hampshire has the highest beer consumption in the US

July 3, 2012

Once again, the Beer Institute says that New Hampshire has the highest beer consumption in the US.  This isn’t something new as NH has topped the list since 2009.

Why does NH continue to top this list?  People in NH like to drink and, the fact that beer costs less in NH than in the states near NH are two obvious reasons.  A 3rd reason might be the large amount of high-quality craft breweries in NH and the surrounding states.

Why does beer cost less in NH than in near-by states?  The tax NH puts on beer per gallon is slightly above average, but that tax is a minor percentage of the cost of beer compared to the 2 main state taxes on beer.  There is no additional sales tax changed on beer bought in stores, and NH doesn’t have a bottle or can deposit fee.

Beer shipments/consumption as measured by gallons per person 21 years and older:
1. NH 43
2. ND 42.2
3. MT 40.6
4. SD 38
5. NV 36.5

45. MD 23.3
46. NJ 22.3
47. NY 22.2
49. CT 21.8
50. UT 19.2

The big state tax on beer is the general sales tax.  Looking at the above 10 states, this is the average general sales tax on beer in each of the states.
NH 0%
ND 6.39%
MT 0%
SD 5.39%
NV 7.93%

KY 6%
NJ 7%
NY 8.48%
CT 6.35%
UT 6.68%

Another large state tax on beer is the bottle or can deposit fee.  Most states don’t charge these fees but a few states do, including some states that border NH and some states without a general sales tax.  Perhaps, that’s why OR and DE, despite not having a general state sales tax, still aren’t near the top in beer sales.  
NH none
ND none
MT none
SD none
NV none

MA 5 cents
ME 5 cents
VT 5 cents

OR 5 cents
DE 5 cents

KY none
NJ none
NY 5 cents
CT 5cents
UT none

There is another state tax on beer that is minor compared to the above 2 taxes.  It’s the tax on beer per gallon.  Here is how much the states mentioned above tax beer per gallon.  Since this tax is so minor outside of AK, AL and GA, it doesn’t seem to make a meaningful difference is beer purchasing habits.
NH 30 cents
ND 39 cents
MT 14 cents
SD 27 cents
NV 16 cents

AK 107 cents
AL 105 cents
GA 101 cents

KY 8 cents
NJ 12 cents
NY 14 cents
CT 23 cents
UT 41 cents


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One Comment
  1. news permalink

    Awesome post ! Thank you for, writing on this blog dude. Ill email you again! I did not know that!

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