Why your drinks are about to cost more

A Texas tax change for alcoholic drinks goes into effect January 1
December 31, 2013 8:41:08 PM PST
If you're going out for New Year's Eve, perhaps you'll be enjoying a mixed drink. Beginning New Year's Day, that drink will cost you a little bit more.

A $10 top shelf margarita will run you just under a dollar extra. Starting January 1, all mixed beverages will have a sales tax to go along with it of 8.25 percent. And on top of that, each business selling that drink will have to pay 6.7 percent.

That brings a total booze tax of about 15 percent with all of it going to the state of Texas It used to be businesses paid 14 percent tax and customers didn't pay anything. Some establishments are lowering their prices by 8 and a quarter to offset the booze tax, but others are just passing it on to the customer.

The new tax is expected to make the state about $21 million next year.

Customers I spoke with said they're not happy about it, but it's not enough to keep them from buying. So buy your last tax free mixed drink before the clock strikes 12, because at the stroke of midnight, it will be a bit stiffer.

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