District of Columbia – Alcoholic Beverage Tax Increased, Sales Tax Decreased

SALT Report 2813 – On July 30, 2013, D.C. Mayor Vincent Gray signed the District of Columbia’s Fiscal Year 2014 Budget Support Emergency Act of 2013 which provides the following sales and use tax provisions:

Sales Tax Rate

Effective October 1, 2013, the sales tax rate will decrease to 5.75% from 6%.

Sales of Alcoholic Beverages

The legislation amends section 47-2202 of the D.C. Official Code to increase the use tax rate to 10% on all sales of spirituous or malt liquor, beer, and wine sold for off premises consumption.  Previously, the use tax rate was 9%.

For Further Information

Council of the District of Columbia – Act 20-130, Laws 2013