5 States with the Highest Alcohol and Beer Tax

3. Virginia

Excise Tax Rate on Distilled Spirits: $22.06 per gallon 

Excise Tax Rate on Beer: $0.26 per gallon

Because Virginia is a ‘control state’ (meaning the state government controls all liquor sales via its ABC stores), the state’s effective tax rate on booze not only includes excise taxes, but also a state-imposed markup on the retail price. This also limits alcohol outlet density, which has been proven to keep excessive drinking in control. 

In 2022, Virginia ABC reached gross revenues of $1.4 billion and contributed $622.8 million to the Commonwealth for designated state programs and services.