Oregon Beer Tax Of 1,900 Percent Proposed, Sparks Outrage

Beer brewers are warning that a proposal by five Oregon state lawmakers to tax each barrel of beer by a whopping 1,900 percent would essentially put them out of business. Oregon is facing a budget deficit and the lawmakers claim that the money will also go to treating alcoholism and prevention.

Brewers worry that the end of low taxes could cripple them:

"We're a family-owned, local Portland business. We don't want to see something cost taxpayers more than the revenue it would bring in," De Kalb said. "If that tax is passed it would mean consumers would pay $315 million more (in 2009) to buy the same amount of beer they bought in 2008. A pint of beer would go from $4.50 to $6."