Each year, tens of millions of Americans flock to holiday markets across the country and come home with handcrafted ornaments, artisan sweets, and festive keepsakes.
Yet while seasonal pastimes like gingerbread decorating and train rides delight visitors of all ages, few traditions hold as much cultural weight as the authentic German Christkindlmarkt.
And what’s more quintessentially German than a cup of Glühwein (hot mulled wine)?
Behind that steaming mug, however, lies an unexpected expense: state excise taxes. Although these upstream fees quietly shape wholesale prices, the cost of festive cheer varies dramatically depending on which state’s borders you visit.
So pack your finest winter woolens and grab a mug: here’s where Alpine charm meets wine taxes on a budget.
Top Christmas Markets ranked by wine tax in 2026
To compare wine taxes across America’s premier holiday destinations, we looked at ten standout Christmas markets featured in Travel + Leisure magazine.
We then ranked them by their mandatory state wine excise tax rates, utilizing the latest data from the Tax Foundation . The comparison uses imported wines (11% ABV) per gallon.
Keep in mind that state excise taxes are built into the wholesale price upstream, providing a foundational baseline for beverage costs across each state. Thus, festival prices on the ground are also shaped by factors like local sales taxes, wine selections, and souvenir packages.
Still, this ranking offers a unique peek into how state tax policy frames the nation’s holiday celebrations — one warm sip at a time.
10. Bethlehem, Pennsylvania
(Image credit: Getty Images)
State wine tax: N/A, most expensive
Dates: Nov. 13 – Dec. 20, 2026
Pennsylvania starts our list out on a unique note: it is an alcohol “control state.” This means the state government maintains a monopoly over all wine distribution with a 30% wholesale markup and an 18% state liquor tax built into every bottle.
Tickets to the Bethlehem Christmas Market also aren’t free, typically running $14 on Thursdays and Fridays, and $16.50 on Saturdays and Sundays. (Admission is free every Friday from 5 to 8 p.m., and kids 5 and under enter free.)
But just because your mulled wine is taxed a little higher, your holiday spirits shouldn’t be down. Hosted by the nonprofit ArtsQuest , the European-style Christkindlmarkt in Bethlehem, Pennsylvania, is a festival for the books.
Set against the dramatic backdrop of towering 19th-century blast furnaces, the market features over 200 artisans and crafters from across the U.S. Between shopping, you can savor traditional German fare like Kartoffelpuffer (potato pancakes), sizzling bratwurst, and hot apple strudel.
Or, visitors may watch master craftsmen create delicate hand-blown glass art and ice sculptures. To round out the experience, pair your warm mug of Glühwein with a stay at the Historic Hotel Bethlehem , an award-winning 1922 landmark famous for its lavish holiday lobby tree displays.
From traditional gifts to warm wine in America’s official “Christmas City,” head to Bethlehem, Pennsylvania, this winter for a shopping experience unlike any other.
9. Cullman, Alabama
(Image credit: Getty Images)
State wine tax: $1.70
Dates: Nov. 19 – Dec. 23, 2026
The Cullman Christkindlmarkt in North Alabama might not be the first place that springs to mind for snowy alpine nights, but its deep German heritage makes it a holiday standout.
Located in downtown Depot Park, the festival offers free admission and parking, though rides and activities cost extra. If you plan to grab a glass, expect local pours to carry a premium: Alabama’s state wine excise tax sits at $1.70 per gallon, ranking among the highest rates on our list.
Founded in the 1870s by German immigrant Colonel Johann Gottfried Cullmann, the town honors its roots with a giant 47-foot-wide Schwibbogen (traditional candle arch) at the festival entrance. Just beyond stands a 40-foot Weihnachtspyramide (German Christmas pyramid) hand-carved in Germany, featuring rotating biblical and woodland scenes.
According to city organizers, both structures rank as the largest and tallest imported German holiday displays in North America.
Stroll past wooden artisan chalets offering European crafts, and you’ll find live copper- and iron-smithing demonstrations, a carousel, and an express holiday train ride for the kids. Plus, visitors can take a spin around the outdoor ice rink or warm up with authentic schnitzel, candied roasted nuts, and, of course, steaming mugs of hot spiced mulled wine.
Ergo, if you’re looking for record-breaking German craftsmanship and family-friendly Southern warmth this holiday season, you might check out Cullman, Alabama , for an unforgettable holiday tradition.
8. Chicago, Illinois
(Image credit: Getty Images)
State wine tax: $1.39
Dates: Nov. 20 – Dec. 24, 2026
Chicago’s world-famous German holiday market is widely known as the largest in the U.S., with 2026 marking its 30th anniversary. While general admission is free across all festival grounds, grabbing a mug of traditional mulled wine will cost you a bit more: Illinois levies a wine excise tax of $1.39 per gallon, ranking on the higher side of our list, according to the Tax Foundation.
The Chicago Christkindlmarket spreads across three locations in the area. Downtown’s iconic Daley Plaza serves as the original festival grounds, with traditional candy-striped wooden chalets, behind-the-scenes tours, and an opening-night preview party.
Meanwhile, just outside Wrigley Field, the market at Gallagher Way offers a playful, community-focused vibe; it has an open-air ice rink and winter rides open through New Year’s Eve. Out in the suburbs, the RiverEdge Park location in Aurora is the largest of the three in physical size, offering over 60 vendors and plenty of breathing room to browse.
Chicago checks every box for holiday fanfare, too. From imported European glass ornaments and nutcrackers to live brass bands and fresh gingerbread hearts (Lebkuchen) , there’s plenty to see and taste.
And for an elevated experience, adults 21 and older can book a curated tasting flight featuring premium seasonal German wines paired with savory bites exclusively at the Aurora location— or purchase a special commemorative stein with their favorite piping-hot spiced mulled beverage at any of the three markets.
Whether you’re ice skating next to the ballpark or sipping mulled wine beneath downtown skyscrapers, Chicago, Illinois proves you don’t need to cross the Atlantic for world-class holiday Gemütlichkeit.
7. Leavenworth, Washington
(Image credit: Getty Images)
State wine tax: $0.87
Dates: Nov. 27 – Dec. 24, 2026
Leavenworth’s “Village of Lights: Christmastown” transforms this postcard-perfect Bavarian village with over half a million twinkling holiday bulbs. Admission to explore the illuminated town square and streets is completely free.
And if you stop into the local tasting rooms, Washington’s wine excise tax sits at a moderate $0.87 per gallon, placing it comfortably in the middle of our ranking according to the Tax Foundation.
Framed by the snow-capped peaks of the Cascade Mountains, Leavenworth stays festive long after the official market season. While Christmastown programming wraps up on Christmas Eve, the decorative lights remain on through the end of February, making it a quiet, scenic spot for late-winter weekend trips.
On festival weekends, Bavarian brass quartets and roaming carolers fill the streets as visitors browse local artisan shops along Front Street, take horse-drawn carriage rides, or view the annual gingerbread house displays at the Festhalle. Off the main strip, paid attractions include the Leavenworth Nutcracker Museum — which displays more than 9,000 nutcrackers from 50 countries — and the Leavenworth Reindeer Farm.
Leavenworth, Washington , offers an authentic winter escape without the high-ticket price tag of premier ski resort towns, especially if you stick to free street festivities and local tasting rooms.
Want to live a little closer to the action? Here are the ten cheapest places to live in Washington .
6. Silverton, Oregon
(Image credit: Getty Images)
State wine tax: $0.67
Dates: Nov. 20 – Dec. 31, 2026
The Silverton Christmas Market has tradition meeting evergreen woodlands.
With an Oregon state wine excise tax of just $0.67, per the Tax Foundation, you won’t pay much of a tax premium on your warm mugs of spiced Glühwein. Ticket prices generally run from $15 to $25+ for adults and $8 to $12 for kids ages 6 and older, depending on the date (all tickets must be booked online in advance).
Set across the sweeping grounds of the Oregon Garden Resort , the festival transforms the city’s botanical garden into an immersive winter wonderland of two million glowing lights. Between light tunnels and forest trails, visitors can glide across a full-sized ice-skating rink or race down a family-friendly snowless tubing hill.
The market also embraces European folklore with special Krampusnacht appearances alongside traditional Santa visits for the little ones.
When you’re ready to shop, wander through dozens of German-style wooden chalets stocked with hand-poured beeswax candles, artisan puzzles, authentic wooden incense smokers (Räuchermänner) , and of course plenty of sweets. The Biergarten serves up warm Bavarian pretzels, authentic sausages, regional Willamette Valley wines, and steaming mulled wine poured into collectible souvenir boots.
Come to Silverton for a modest wine excise tax, but stay for a magical woodland light festival that feels like a slice of the Black Forest.
See also: 10 Cheapest Places to Live in Oregon .
5. Kennebunkport, Maine
(Image credit: Getty Images)
State wine tax: $0.60
Dates: Dec. 3 – Dec. 13, 2026
Every December, Kennebunkport turns classic holiday traditions on their head with its 11-day Christmas Prelude . You won’t find generic alpine chalets here; the town leans entirely into its rugged coastal roots. In fact, HGTV named it the “#2 Christmas Town in America” — largely because Santa skips the sleigh to arrive by lobster boat, flanked by local “lobster elves.”
The town’s coastal personality is on full display at Cape Porpoise, where locals stack real lobster traps and colorful fishing buoys into a towering, illuminated Christmas tree. Down in Dock Square, fresh pine garlands are woven with seashells and sand dollars, circling a gigantic evergreen at the center of the village.
Between craft fairs loaded with handmade Maine goods, you can watch the whimsical Christmas Hat Parade, cheer on costumed dogs at the annual Pooch Parade, or catch the evening fireworks over the harbor after candlelight caroling.
Best of all, soaking in the coastal atmosphere will not derail your budget. Wandering the waterfront streets, watching the tree lightings, and browsing the village shops costs nothing. Grabbing a warm drink along the way may be easier on the wallet, too: Maine levies a modest wine excise tax of just $0.60 per gallon, placing it comfortably among the five cheapest states on our list according to the Tax Foundation.
Whether you’re in it for hot mulled wine, a bread bowl of fresh clam chowder, or coastal holiday cheer you cannot find anywhere else, Kennebunkport delivers one of the most distinctive winter celebrations in New England.
4. Carmel, Indiana
(Image credit: Getty Images)
State wine tax: $0.47
Dates: Nov. 21 – Dec. 24, 2026
Carmel, Indiana, may not be named after the sweet confection, but its award-winning German holiday market is still as sweet as it gets. Ranking fourth on our list, the Hoosier State levies a modest wine excise tax of just $0.47, per the latest data from the Tax Foundation. General admission to the festival is also free, which includes parking in designated garages and a complimentary shuttle service.
Taking over Carter Green, the market centers around an outdoor ice-skating rink framed by more than 60 traditional wooden huts imported directly from Germany. Anchoring the festivities is a 10-ton, 33-foot-tall Glühwein pyramid — the only one of its kind in the U.S. — illuminated by over 3,000 lights and serving as the market’s central gathering point.
In true Nuremberg fashion, the market kicks off its season with the arrival of the golden-crowned Christkind (Christmas spirit), who rings the ceremonial market bell to welcome visitors and officially launch the holiday calendar.
For food lovers, the stalls serve some of the most authentic German street fare in the U.S. Vendors scrape melted raclette cheese straight from the wheel onto warm, crusty baguettes, while bakers spin fresh chimney cakes (Baumstriezel) over hot rotisseries. Shoppers can also browse artisan-made cuckoo clocks, wooden music boxes, and delicate blown-glass ornaments.
Come to Carmel, Indiana, for budget-friendly wine taxes, and linger for an authentic German holiday market that routinely ranks as one of the best in North America.
3. New York City, New York
(Image credit: Getty Images)
State wine tax: $0.30
Dates: October 28 – Jan. 3, 2027
Christmas markets across the Big Apple charge no admission, making spectacular holiday sightseeing surprisingly wallet-friendly.
Ranking third on our list, the Empire State levies one of the lowest wine excise taxes at just $0.30 per gallon — or roughly six cents per standard 750 mL bottle. Although admission to browse New York City stalls is free, keep in mind optional experiences like ice skate rentals, private heated igloos, or guided holiday lights tours will add to your tab.
New York City takes the traditional European market format and turns it into a citywide sensory spectacle in several open-air markets. The flagship destination, the Bank of America Winter Village at Bryant Park , transforms Midtown with over 180 glass chalets, a 17,000-square-foot ice-skating rink, and a rinkside food and cocktail hall called “The Lodge.”
Further downtown, the bustling Union Square Holiday Market features candy-striped stalls with handmade jewelry, leather goods, and local crafts, while the Columbus Circle Holiday Market sits directly at the foot of Central Park.
Between shopping trips, visitors can marvel at the iconic window displays along Fifth Avenue and outside Macy’s Herald Square, take in the gigantic Rockefeller Center Christmas Tree, or warm up at a festive winter pop-up bar. Food stalls throughout the parks serve Bavarian pretzels, piping-hot Belgian waffles, and gourmet cider doughnuts along with steaming cups of cider and wine.
Dreaming of a white Christmas at one of the most romantic cityscapes? New York City delivers storybook cheer worthy of a cheesy holiday movie.
2. Rochester, New York
(Image credit: Getty Images)
State wine tax: $0.30
Dates: Nov. 27 – Dec. 20, 2026
Although Rochester’s state wine excise tax rate matches New York City’s, this historic city claims the higher ranking on our list thanks to lower local sales taxes. Even better for your holiday wallet, Rochester hosts multiple distinct holiday celebrations — and admission across the board is free.
The most well-known celebration is the annual ROC Holiday Village , which transforms downtown’s Dr. Martin Luther King Jr. Memorial Park into a winter wonderland. Visitors can take free spins around the open-air ice-skating rink (with free skate rentals included), browse cozy shopping huts featuring over two dozen artisans, and pay a visit to Santa in his workshop.
When you need to escape the chilly Upstate air, you can warm your hands beside outdoor fire pits, duck inside the heated Triple-O Lodge for beer or wine, or reserve a private, furnished heated igloo overlooking the ice.
Just across town at Rochester Public Market, the tradition continues with the Holidays at the Market series. This is where dozens of regional vendors sell handmade holiday wreaths, specialty foods, and artisan gifts alongside free horse-drawn carriage rides and festive kids’ activities like cookie decorating.
And if you want to sample regional Finger Lakes vintage wines with your shopping list, head just over to Fairport for Casa Larga Vineyards’ Holiday Wine & Craft Marketplace . Here, local artisans pair holiday gifts with local wine flights.
From warming up in a private igloo with a mug of spiced cider or savoring local food trucks beside the rink, Rochester, New York delivers cozy Upstate holiday magic on a shoestring budget.
Related: The ten cheapest places to live in New York .
1. Cambria, California
(Image credit: Getty Images)
State wine tax: $0.20
Dates: Nov. 27 – Dec. 31, 2026
Claiming the number-one spot on our ranking with the lowest state wine excise tax in America is Cambria, California , where the Golden State levies a rate of just $0.20 per gallon — translating to roughly four cents per standard 750 mL bottle, per the Tax Foundation.
Ticket pricing isn’t free, however, and typically ranges from $25 to $45 depending on the date.
Located in the coastal pine forests of California’s scenic Central Coast, the Cambria Christmas Market turns Cambria Pines Lodge and Nursery into a German fairy tale. The festival’s signature feature is a walk-through light display, illuminated by more than three million bulbs, complete with glowing color-changing tunnels and animated storytelling displays.
Visitors can also hop aboard the festive miniature train ($5 per person), browse open-air chalets selling crafts, or warm their hands in the bustling Biergarten. The market serves up authentic German comfort foods like hot pretzels, savory bratwurst, or candied nuts, accompanied by live music and strolling carolers.
So if you’re looking for spectacular holiday lights, coastal mountain scenery, and relatively cheaply taxed German Glühwein, make Cambria your next winter getaway — and see what all the fuss is about.
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