Senators Cortez Masto (D-Nev.), Cramer (R-N.D.), and Representatives Horsford (D-Nev.) and LaHood (R-Ill.) introduced the Hospitality and Commerce Job Recovery Act of 2021 yesterday, a bipartisan bill to support the hospitality, travel, and tourism industries.
According to a press release, the legislation will “provide comprehensive relief and recovery measures for the convention, trade show, entertainment, travel, and hospitality industries and their workers. It would stimulate the economy by creating new recovery incentives for hospitality and trade shows, extend the employee retention tax credit to reduce layoffs and keep Americans employed, create a perishable food and beverage credit to help small businesses cover costs of inventory lost during COVID closures, and provide a tax credit for middle class families to jumpstart travel when safe.”
The bill includes language that the Brewers Association and the Perishable Food and Beverage Coalition advocated for. It would provide a temporary credit for unmerchantable inventory costs for businesses that were lost due to necessary precautions to halt public gatherings. For brewers specifically it would help offset revenue losses on beer that expired due closures of restaurants, bars, taprooms, and concerts and sporting venues.
If the legislation passes, breweries that are eligible would qualify for a one-time tax credit of 90% of the inventory costs on beer that became unmerchantable (spoiled or expired) between March 13, 2020 and September 30, 2020.
The Brewers Association joins the U.S. Travel Association, the American Gaming Association, the American Hotel and Lodging Association, and the National Restaurant Association in support of the bill. We applaud the introduction of the Hospitality and Commerce Job Recovery Act of 2021, and thank the bill’s champions for included language that will help breweries recover losses incurred by COVID-19.
To learn more you can view the summary of the legislation. The Brewers Association will continue to monitor the bill and keep our members updated as the legislation progresses.