NOffLA to bring Budget wine increase to EU

NOffLA Chairperson Evelyn Jones: “The point of matter is whether wine is comparable with beer and spirits. The more that they tax wine, the more its quality has to diminish and the more our argument stands up".

Following last year’s excise increase of €1 and this year’s increase of 50 cent on a bottle of wine, the National Off-Licence Association is looking into the possibility of being able to refer the Budget increase on wine (versus that of 10 cent on spirits and beer) to the EU Commission.

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It believes that the Budget contravenes Directive 101, Chapter 2, Section 2, of the Lisbon Treaty that “No Member State shall impose, directly or indirectly, on the products of other Member States any internal taxation of any kind in excess of that imposed directly or indirectly on similar domestic products.
“Furthermore, no Member State shall impose on the products of other Member States any internal taxation of such a nature as to afford indirect protection to other products”.

This is the second Budget increase on wine in 11 months, pointed out NOffLA Chairperson Evelyn Jones.

“All of the quality has been sucked out of the bottle and into duty and excise,” she stated,

“Ireland is already 576% higher in taxation on wine than the EU average. So it seems to me that the Government is targeting wine because wine is a non-domestic product.”

She added that she believes that the Government “seems determined to put the small independent off-licensee out of business and allow the alcohol be sold by multiples.”

NOffLA will be looking into referring the matter to the EU Commission because it firmly believes the Government is putting an unfair taxation on wine as it’s not domestically-produced.

As a result of Budget 2014 excise on a 75cl bottle of wine has increased by 40 cent bringing the total excise to €3.17 or €3.90 including the 10 cent increase in VAT.

Excise on a 500ml can of beer will increases by 7.15 cent bringing the total excise on a can of beer to 48 cent or 59 cent including VAT.

NOffLA Chairperson Evelyn Jones: “The point of matter is whether wine is comparable with beer and spirits. The more that they tax wine, the more its quality has to diminish and the more our argument stands up".

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