Price differences on liquor

[bobarian]

Originally Posted by wayner123

Can someone explain to me why liquor prices vary so widely from state to state? I can understand taxes being higher in some states, but I can't grasp why they would be nearly double the price. IE, Lagavulin 16yr in CT is $50, while even on discount in FL it's $95. That's a major swing just for taxation.

With the repeal of the 18th Amendment(Prohibition), the 21st Amendment allowed each state to set its own laws regarding alcohol. 50 states=50 different laws and 50 different tax rates.

When you buy alcohol from another state via a website you bypass your home state's tax laws. In Fl the tax rate on distilled spirits can run as much as $10/gallon, in addition distributors and retailers must pay license fees to sell liquor to FL residents. Out of state dealers for the most part do not pay these fees, nor do they pay Sales tax which must be paid by in-state retailers. You will find similar pricing differences in cigarettes.