Federal Budget 2021-22: Australian Brewers and Distillers
Tax Law - 12 May 2021
The Government has made a welcome announcement offering $225 million in tax relief for small Australian brewers and distillers in the form of an increase in the excise refund cap. From 1 July 2021, eligible distillers, brewers and craft manufacturers of fermented alcoholic beverages (such as non-traditional cider) will benefit from the increase in the excise refund cap of $350,000 (increased from $100,000) per financial year.
The increased level of excise relief for eligible alcohol manufacturers will align with the $350,000 Wine Equalisation Tax (WET) Producer Rebate for eligible wine producers, placing all alcohol manufacturers and wine producers on a level playing field. These changes will assist the growth of Australia’s craft brewing and distilling industry and serve as much-needed relief for those businesses severely impacted by COVID–19.
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