(Feb. 23/17) Craft beer just got a little more affordable for Nova Scotia licensees.
Craft beer from New Brunswick is tax free
The Maritime Beer Accord allows licensees in Nova Scotia to get craft beer from New Brunswick tax free. Under this Accord, beer from any Maritime province is treated similarly to beer from the home province. As Nova Scotia allows licensees to purchase directly from breweries in the province, licensees can also buy craft beer directly from a New Brunswick craft brewer without paying any provincial mark-up taxes. This rule only applies to items ordered directly from the New Brunswick brewery, not those bought through the Nova Scotia Liquor Corporation.
New Brunswick licensees don’t get the same deal, as all their alcohol must be purchased through the province’s liquor monopoly with provincial mark-ups.
N.S drops taxes on craft beer
The Nova Scotia government has also changed the mark-up structure on craft beer produced in the province. On April 1, 2017, the tax on craft beer will fall from 50 cents per litre to 5% of wholesale costs, reducing the overall tax burden by close to $1 million annually. This is good news for licensees, as they can purchase directly from craft brewers without going through the Nova Scotia Liquor Corporation.