BY IAN CROUCH

Craft brewers in the Hunter can expect a tax break in the upcoming federal budget.

Independent brewers such as FogHorn Brewhouse in Newcastle and Murrays Brewery at Bobs Farm are slugged 40 percent more for production simply because they use smaller kegs than the major commercial breweries.

The Telegraph reports Treasurer Scott Morrison is tipped to announce an increase in the excise cap which brewers pay, which will eliminate the tax disparity and make craft beers cheaper.

The change will come into force from July 1 next year.

There are more than 380 craft brewers in Australia in an industry worth $400 million which employs about 4000 people.

Federal Newcastle MP, Sharon Claydon has been calling for a fair go for independent brewers.



Newcastle’s FogHorn Brewhouse is one of hundreds of independent breweries in line for a tax cut Picture hunterhunter.com.cu