Craft brewers to rejoice lower keg taxes

Draft laws to reduce tax rates for smaller kegs have been introduced to parliament, in a move to help craft breweries compete against large companies.

Craft brewers are set to benefit with the introducion of draft laws to reduce tax on smaller kegs (AAP)

Craft brewers are set to cheers the government for introducing draft laws to reduce the tax on smaller kegs.

Draught beer sold in kegs bigger than 48 litres is taxed at lower rates compared with beer sold in smaller kegs, but the draft laws extend concessional excises to all kegs of at least eight litres.

"This measure evens the playing field between small and large breweries," Assistant Treasurer Stuart Robert told the lower house as he introduced the bill on Wednesday.