WASHINGTON —聽As distilleries, big and small, fight to make a name in a market dominated by national brands, local business owners gaining a following for craft whiskey are asking Congress to give them a hand.
The first legal distillery in Loudoun County since prohibition, , is finding聽fans of its聽organic rye whiskey.聽And like other small distillers,聽its owner聽is asking聽their representatives聽for a tax聽break to聽help his business grow.
“Our business has been expanding rapidly … we started in 2009 with just two people: my wife and myself.聽And now we employ about 20 people,” said Catoctin Creek Distilling Company Owner Scott Harris.
Harris said he believes his small distillery could add employees and stir tourism聽if Congress extended to distilleries the聽federal excise tax breaks聽currently given to craft beer makers and small wineries.聽Right now, Harris聽and other craft distillers pay the same federal excise tax rate as their big competitors such as Jack Daniels and Jim Beam.
“It’s very hard for smaller companies like ours to compete and to do innovative, new products like we’re doing,” Harris said.
Distillers are asking Congress to cut the federal excise tax on the first 100,000 gallons of spirits produced to $2.70 per gallon for all distillers.聽The rate would then rise to $13.34聽per gallon on alcohol produced after the first聽100,000 gallons.
As craft beers broaden their reach in the American marketplace,聽craft whiskey is showing signs of following.
“When I started this business, there were approximately聽six craft distillers in Virginia and now there are over 44 in Virginia alone,” Harris said.
Catoctin Creek’s signature product is its Roundstone Rye Whiskey made from scratch in Purcellville, Virginia.
“You get that spicy聽kick that you get from rye whiskey but with this delicious round, fruity flavor that comes from the grain that we use,” Harris said.
