Today, the Government released draft legislation that will extend the concessional draught beer excise rate to smaller kegs, typically used by craft brewers. Currently, draught beer sold in kegs exceeding 48 litres is taxed at lower rates compared with beer sold in smaller kegs. Extending the concessional draught beer excise rates to kegs of 8 litres or more will level the playing field for craft brewers.
Interested stakeholders are encouraged to make submissions by email via the Treasury website before 31 October 2018.
This measure was announced in the 2018-19 Budget and applies from 1 July 2019.
In addition to making the concessional rate available to smaller keg sizes, this measure also increases the alcohol excise refund scheme cap from $30,000 a year to $100,000 for all eligible brewers and distillers. This part of the measure will be given effect separately through amendments to the Excise Regulation 2015.