Author Topic: Looking into starting a meadery  (Read 3280 times)

Offline Thirsty_Monk

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Re: Looking into starting a meadery
« Reply #15 on: March 09, 2012, 06:09:28 PM »
At least in my state.
Any equipment that you buy for manufacturing (and brewing is manufacturing) is tax free.
On the other side we have here lovely "personal property tax" that is tax on whatever business owns.
So you purchase a delivery vehicle.
Business pays a sales tax and every year you pay a personal property tax.
Check if this apply it your state.
This is one of unwelcome surprises.
Na Zdravie

On Tap At The TapRoom:
Bohemian Pilsner
Bohemian Dark Lager
Smoked Bock
MaiBock
American Brown Ale
Marzen
Root beer

Offline nateo

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Re: Looking into starting a meadery
« Reply #16 on: March 09, 2012, 07:37:11 PM »
At least in my state.
Any equipment that you buy for manufacturing (and brewing is manufacturing) is tax free.
On the other side we have here lovely "personal property tax" that is tax on whatever business owns.
So you purchase a delivery vehicle.
Business pays a sales tax and every year you pay a personal property tax.
Check if this apply it your state.
This is one of unwelcome surprises.

Hmm I'll look into that. I know we have a personal property tax here. I'm surprised WI has a personal property tax, since the land values seem a lot higher there. I don't have any problem with that tax here, because real estate and land are basically worthless here. Everyone (at least here in rural MO) lives in a $5000 trailer and drives a $60,000 truck. So just a real estate property tax wouldn't really raise any revenue.

In any case, the tax burden I've found so far has been much lower than I thought it would be, given the sort of general discourse about taxes in this country. The federal excise taxes are heavily weighted to favor small businesses. Small wineries get a $0.90/gallon discount off the $1.07/gallon excise tax, making it the same tax rate wineries paid in 1991. I don't have any particular problem taxing the high-volume, low-quality macrowineries/macrobreweries at much higher rates. Microwbreweries get similar discounts, though not quite as good. I think it's $7/bbl instead of $18/bbl. IIRC John Kerry introduced a bill to cut that to $3.5/bbl for micros, but I don't think it got anywhere.
In der Kürze liegt die Würze.

Offline Thirsty_Monk

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Re: Looking into starting a meadery
« Reply #17 on: March 09, 2012, 08:39:24 PM »
That is correct. It is still $7 a BBL for me.
Na Zdravie

On Tap At The TapRoom:
Bohemian Pilsner
Bohemian Dark Lager
Smoked Bock
MaiBock
American Brown Ale
Marzen
Root beer

Offline nateo

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Re: Looking into starting a meadery
« Reply #18 on: March 12, 2012, 03:17:39 PM »
I contacted the Missouri Wine Advisory Board. They weren't helpful. I got ahold of someone at the main office for the state Alcohol Control division, and he was really helpful. That guy said that it's the position of his agency that statutes take precedent over regulations, and that if state law says I can use honey in my winery, then it doesn't matter if the regulations don't specifically state that I can.

He also told me that my county health inspector is the one who will actually be inspecting the facility, and as long as they're happy with the facility, the state is happy. It seems like the state doesn't particularly care about regulating. Yay, Missouri!
« Last Edit: March 12, 2012, 03:29:14 PM by nateo »
In der Kürze liegt die Würze.

Offline Thirsty_Monk

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Re: Looking into starting a meadery
« Reply #19 on: March 12, 2012, 07:51:31 PM »
Every state is different.
Because I am not serving food I am govern by agg department (I have nothing to do with local health department).
Check with them.
You are in essence food manufacturer.
There is a license fee for me to be an food manufacturer.
Na Zdravie

On Tap At The TapRoom:
Bohemian Pilsner
Bohemian Dark Lager
Smoked Bock
MaiBock
American Brown Ale
Marzen
Root beer

Offline punatic

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Re: Looking into starting a meadery
« Reply #20 on: March 14, 2012, 01:41:20 AM »
Business-wise contact your local Small Business Administration (SBA) office.  They are a HUGE help dealing with the business environment in your area.

Alcoholic beverage production facility (ABPF)-wise – talk with other ABPF operators in your neck of the woods.  They have been down the road you have set your feet upon.  Chances are they can recommend an attorney who knows, and can help you navigate the local laws that you need to comply with.  It may seem counter-intuitive, but other ABPF operators in your area will be pleased to help newbies succeed.  Strength in numbers.

It is WELL worth the investment to hire someone who knows the local ropes.  The TTB can be very helpful.  The local bureaucracy, often times, not so much - especially with an alcoholic beverage that they know little about.  Alcoholic beverage laws are VERY local.

Just my 2₵ worth, - from someone who is pursuing a similar path on Hawaii Island.
There is only one success: to be able to spend your life in your own way.


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Offline nateo

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Re: Looking into starting a meadery
« Reply #21 on: March 20, 2012, 11:46:58 AM »
Nothing new to report, except more run-around, more people saying "oh, I don't do that, you want this guy." But I think I've found the person I need to talk to. I'll try calling them tomorrow.

I didn't plan on it being this difficult to determine who is actually in charge of regulating wineries.
In der Kürze liegt die Würze.

Offline nateo

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Re: Looking into starting a meadery
« Reply #22 on: March 25, 2012, 12:14:56 PM »
Last night I ran out of homebrew. I've spent every free day over the last few months working on business plans and doing research, and haven't had any time to brew. It occurred to me that if I did get the meadery off  the ground, I probably wouldn't be able to brew recreationally more than a few times a year, if at all. It also occurred to me that I don't really want to spend the next decade in Missouri, and if we have kids, I really don't want to raise them here.

At this point I'm putting the meadery project on the back burner, and I'll revisit it later if my life situation changes.
In der Kürze liegt die Würze.

Offline denny

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Re: Looking into starting a meadery
« Reply #23 on: March 25, 2012, 12:40:10 PM »
Last night I ran out of homebrew. I've spent every free day over the last few months working on business plans and doing research, and haven't had any time to brew. It occurred to me that if I did get the meadery off  the ground, I probably wouldn't be able to brew recreationally more than a few times a year, if at all. It also occurred to me that I don't really want to spend the next decade in Missouri, and if we have kids, I really don't want to raise them here.

At this point I'm putting the meadery project on the back burner, and I'll revisit it later if my life situation changes.

It's good to have a dream, and it's better to be realistic about it.
Life begins at 60.....1.060, that is!

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Offline Thirsty_Monk

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Re: Looking into starting a meadery
« Reply #24 on: March 25, 2012, 01:34:32 PM »
Since I started to brew commercially I do not brew at home at all.
If I do not have underfilled bottles I do not drink anything.
It is fun job but it is not hobby anymore.
Na Zdravie

On Tap At The TapRoom:
Bohemian Pilsner
Bohemian Dark Lager
Smoked Bock
MaiBock
American Brown Ale
Marzen
Root beer