Another year, another increase. As the deadline approaches for a federal hike on beer tax, an online petition hosted by the trade association representing beer makers in Canada has called on brewers to sign a document that would put a freeze on this year’s increase.

The initiative, #FreezeItForThem, has already received a massive amount of support as it asks the government to help support Canadian small businesses on the long road to economic recovery.

The ‘elevator tax’ increase represents roughly three cents on a 24 pack, cumulative effect absorbed by brewers or passed to consumers.

“The average tax in Canada is 47 per cent of beer prices, and so in Ontario we’re ahead of the national average,” said George Croft, President & CEO of Waterloo Brewing Co. “Our brewery pays 61-million dollars in tax each year – and our net earnings are around four million dollars. So, if you think about it, the government of Ontario and federal government make fifteen times more money on our business than we do.”

The impact beer taxes have had on the industry since its implementation in 2017, represents 52 percent of the sale price of beer in Ontario – with 20 percent of that tax flowing through the federal government and 80 per cent to the provincial government.

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