Restaurants ask for booze tax relief

Governor proposed 20 percent alcohol tax increase.

The budget plan calls for a 20-percent increase in the tax on alcohol.

Part of Gov. Dannel Malloy’s budget plan includes raising the state's alcohol taxes 20 percent, and Connecticut restaurants are not happy about it.

The increased taxes on alcohol is projected to provide the state with $9.8 million in the first year of the two-year budget. It will bring in $9.3 million in the second year.

But, officials from the American Beverage Institute said the proposed tax increase would ultimately cost jobs and disproportionately hurt those who can't afford to pay the higher tax.

The group, which represents 65 Connecticut restaurants, wants lawmakers to roll back those plans.

Democratic state lawmakers scrapped some of Malloy's proposed tax changes, such as taxes on boat services and haircuts, but they continued to increase so-called "sin taxes" on alcohol and cigarettes.

The plan, which passed the Finance Revenue and Bonding Committee, awaits Senate action.