In the lead up to the 2022 Budget and federal election there have been a number of calls to reduce the rate of excise tax levied on beer.

Calls to reduce alcohol excise on tap beer have been made on the argument that it would be an effective way to support the post-COVID recovery of the hospitality sector. This paper argues that implementing such a policy would represent a short sighted and ineffective approach to economic stimulus with long-term impacts on both Commonwealth revenue and the coherence of Australian policies to limit the harms from alcohol.