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What will your bar tax bill be on Margarita Day 2017?

February 22, 2017

Note, Feb. 22, 2020: Yeah, this post is a few years old, but after a few frozen tequila concoctions, you won't even notice! Cheers!

It's National Margarita Day! Each Feb. 22, the focus is on appreciating this popular tequila-based cocktail.

I'm in Texas, specifically Austin, which is the drinking-est town I've ever lived in — not judging, just observing! — so truth be told today is no different from the other 364 here.

Archer provides his margarita recipeFX/FXX TV's spy-turned-private detective Sterling Archer offers his margarita recipe. 

But if you're in less alcoholically inclined location and need a special reason to enjoy a margarita, then Feb. 22 is your day.

If you're looking for a drink that's a bit more elaborate that the basic one preferred by cable television's animated (in soooo many ways!) Sterling Archer, then check out the Cooking Channel's top 28 margarita recipes.

Or you can just head to your favorite restaurant or bar for lunch (if you have a lenient boss or are the boss) or happy hour.

Tax contribution of booze: Your local eateries and/or drinking establishments will thank you for your patronage and the order of an added adult beverage choice today. So will, in many cases, your state treasury.

In 17 states, the government directly controls the sales of distilled spirits, according to the Federation of Tax Administrators. The amount those states collect, along with other relevant hard-alcohol tax info for 2017, is detailed in the FTA table below. 

State Liquor Excise Tax Rates 2017State liquor tax rates 2017_1 State liquor tax rates 2017_2 State liquor tax rates 2017_3

1) In 17 states, the government directly controls the sales of distilled spirits. Revenue in these states is generated from various taxes, fees, price mark-ups and net liquor profits.
(2) General sales tax applies to on-premise sales only.
(3) Washington privatized liquor sales effective June 1, 2012.

As the FTA notes, the national median tax on liquor is $3.75 per gallon.

Alaska blows that tax rate up bigly (or big league; like your margarita style, it's your choice), collecting $12.80 per gallon.

The lowest per gallon tax is $1.50 in Maryland and neighboring Washington, D.C. Insert your own jokes here about how folks working in the shadow of the federal government deserve a tax break on their imbibing.

Plus, in most states, you'll owe sales tax on the restaurant fare, food and beverages, that you order on special booze-related days like this. Mark your calendars, National Tequila Day is July 24. If you're more of a wine fan, that commemorative day is May 25.

However and wherever you celebrate National Margarita Day, tip your server and, if need be, call a cab or car service.

You also might find these items of interest:

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The More Tax Posts tab at the top of this page will take you to, well, more tax posts. You also can search below for a tax topic. 

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TAX-SAVVY WAYS 
TO WRAP UP 2026

It’s over! With October’s extended filing deadline behind us, it is now time to focus on year-end moves to reduce your 2026 tax bill. 

You’ll find ways to do just that on the Tax Tips page (see the More Tax Posts drop-down menu at the top of the blog), as well as the separate tax tip pages for each month, notably October through December. If you’re on the Tax Tips page, you’ll find a monthly list at the end of this column. If you’re on another blog page, you can head straight to the October tips; at the bottom of that tips page you’ll find links to all the other 11 months’ collections of tax advice.

Not to spoil what you’ll find in that tax advice, but it does cover such things as tax deductions for charitable donations, investment moves that could reduce tax due, and ways to max out your tax-favored retirement savings. 

Finally, as the year winds down, things get hectic. There are lots of other things to occupy our time, like the much more fun upcoming holidays. But don’t lose sight of taxes, since timing is key. To be of use, most tax moves must be made by the end of the tax year. That’s Thursday, Dec. 31, which also is the last business day of the year. 

So that you don’t miss that final tax year deadline, also keep an eye on the countdown clock below. It will keep you on top of just how much time is left to make important, tax-saving moves. (Note: I’m in the Central Time Zone, so adjust accordingly for where you live.)

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