Why is the California Board of Equalization (BOE) considering changing how alcopops are taxed?
Late last year, four young people, representing California s youth, petitioned the BOE to reclassify alcopops as distilled spirits. These young people presented their petition at a public hearing in December 2006 and the BOE voted to accept the petition and initiated a series of public meetings and analysis to review alcopop taxes. The BOE is scheduled to make a decision regarding the reclassification of alcopops in August 2007. Would reclassifying alcopops create a new tax? No. Reclassifying alcopops would end years of tax evasion by the makers of alcopops and collect approximately $53 million in additional annual revenue. What is the alcopops lawsuit that was filed against the Board of Equalization? Santa Clara County has filed a lawsuit against the BOE also demanding reclassification of alcopops as distilled spirits and taxation of these products consistent with California law. This lawsuit is an additional legal strategy to affect the same outcome as the petition process: the corre
