Governor Murphy Proposes 10% Alcohol Tax Hike to Boost New Jersey Revenue
Trenton, NJ—New Jersey Governor Phil Murphy has proposed raising the state’s alcoholic beverage tax by 10%, a move aimed at generating an additional $18.5 million in revenue for the fiscal year 2026 budget. The plan, unveiled as part of his $58.1 billion spending proposal last month, targets the first sale or delivery of alcohol to retailers across the Garden State, encompassing beer, liquor, still wine, vermouth, sparkling wine, mead, and hard apple ciders. According to the New Jersey Division of Taxation, the alcoholic beverage tax is levied based on the volume of gallons sold or disposed of within the state.