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California Governor Proposes Increasing Alcohol Tax

By Steven Rodriguez

pSpiking your holiday eggnog could be getting a little pricier. Governor Arnold Schwarzenegger recently proposed raising California#8217;s alcohol tax by a nickel a drink. Cash-strapped states are scrambling to find ways to raise funds to avoid cutting critical services to residents. California is the 27th state this year to focus on alcohol taxes as a money maker. Last week the Governor suggested increasing the state tax on beer, wine and liquor to help prevent a $40 billion shortfall in the state budget. Schwarzenegger said the tax increase would generate $900 million in new revenue over the next 18 months./p pWhile some states like California are using booze to raise money by increasing existing taxes, others are boosting state revenues by lifting Prohibition-era bans on Sunday liquor sales...continue to full post

Full post as published by LA Criminal Defense Blog on December 22, 2008 (boomark / email).