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EU agrees new rules on excise duties for alcohol

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EU agrees new rules on excise duties for alcohol

Photo © Vaclav Zilvar - Fotolia

(BRUSSELS) - The EU Council agreed new rules governing excise duties on alcohol Thursday, paving the way for an improved business environment and for reduced costs for small alcohol-producing businesses.

The agreed new rules will ensure that small and artisan alcohol producers have access to a new EU-wide certification system confirming their access to lower excise duty rates across the Union.

This is expected to have a positive impact on consumers, which will benefit from a crackdown on the illegal use of tax-free denatured alcohol to make counterfeit drinks.

There will also be an increase in the threshold for lower strength beer to which reduced rates may apply to encourage brewers to produce beverages with a lower alcohol content.

The EU Commission has welcomed the agreement. "Today's agreement is a welcome move towards a more modern and fairer tax regime for alcohol which also supports our fight against fraud," said Economy Commissioner Paolo Gentiloni.

The new rules will be applicable from 1 January 2022.

The EU executive promises to monitor the introduction of an excise duty or reduced excise rates for private production of ethyl alcohol. It will report to the Council on this measure.

Excise Duty on Alcohol


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