Schumer supports effort to retain wine tax reimbursements for producers

Grapes ripening in Ulster County

WASHINGTON – US Senator Charles Schumer Wednesday urged Treasury and Homeland Security officials to withdraw their October 2009 proposals that he said would significantly affect New York’s wine industry.

The Hudson Valley is noted for its vineyards and wineries.

The proposed changes would repeal a program that currently provides a rebate for wine producers who export New York State wine.

Schumer doesn’t want that plan implemented. “I am telling the administration that this move was reckless and the two agencies that did this did not provide a plausible reason for why they wanted to alter the policy,” he said.

Current duties and taxes on wine imports total about $1.30 per gallon. Under the existing drawback program, the American winery gets a refund of these taxes and duties if they export a similarly-valued bottle of New York State made wine.