Proposal To Tax Jack Daniel's Whiskey Derailed - NewsChannel5.com | Nashville News, Weather & Sports

Proposal To Tax Jack Daniel's Whiskey Derailed

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NASHVILLE, Tenn. (AP) - A proposal to tax barrels of Jack Daniel whiskey has been derailed before it could reach the Tennessee Legislature.

The Moore County Council voted 10-5 Monday evening to rescind a previous vote asking the lawmakers to authorize a local referendum on the proposal.

It would have taxed Jack Daniel up to $5 million annually with the revenue going to local coffers.

Charles Rogers of Lynchburg, who had spearheaded the effort, said the issue "is now on life support."

Jack Daniel is the world's top-selling whiskey, distilled in the tiny town of Lynchburg which has been celebrated in folksy, black-and-white advertisements for years.

State Rep. David Alexander, who attended the meeting, said he considers the issue dead.

The distillery now pays $1.5 million in property taxes. Distillery officials opposed the measure, saying Jack Daniel's is already paying its fair share.

(Copyright 2011 by The Associated Press. All Rights Reserved.)

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