EU asks for higher beer taxes

The European Union is asking the Czech Republic and six other EU states to raise the sales tax on beer. The increase would equal about one-fifth of the current tax rate and come into effect sometime between 2008 and 2010. Brussels is suggesting the change because EU analysts say that beer prices have not been affected by general inflation in recent years, and experts say higher prices are also a way to combat alcoholism. Czech brewery owners are opposed to the proposal.