TaxPersonal Tax21 MARCH 2000 BUDGET- SPIRITS DUTY FROZEN FOR THIRD YEAR RUNNING

21 MARCH 2000 BUDGET- SPIRITS DUTY FROZEN FOR THIRD YEAR RUNNING

The duty on spirits has been frozen for the third year running. The duties on most other alcoholic drinks will be increased in line with inflation in order to maintain the revenue.

The duty on spirits has been frozen for the third year running. The duties on most other alcoholic drinks will be increased in line with inflation in order to maintain the revenue. Duty on spirits is now 35% less in real terms than it was twenty years ago.

DETAILS

Main Alcohol Rates

The new rates take effect from 1 April 2000.

The changes will have the following effect on tax (duty plus VAT):
Product Effect Pint of beer +1p 75cl bottle of table wine +4p Litre bottle of still cider +1p 33cl bottle of higher strength alcopop +1p

NOTES FOR EDITORS 1.

This is the third consecutive freeze on spirits duty and helps both UK producers and UK exporters. 2. Tax on beer (duty plus VAT) will be increased by 1p per pint. Equivalent percentage increases have been applied to cider and most categories of wine.This is necessary to maintain the revenue. 3. There has been no increase in the beer, wine and main cider duty rates since January 1999. 4. The estimated revenue cost of this alcohol package is UK Pounds 25 million against an indexed base in 2001/02. The RPI impact is estimated to be 0.02%. 5. There are details for businesses in Budget Notice 38/2000 which is available from Customs and Excise Advice Centres and on the Customs and Excise website.

Related Articles

Inheritance tax is 'unfit for modern society' and should be abolished, says think tank

Personal Tax Inheritance tax is 'unfit for modern society' and should be abolished, says think tank

3w Alia Shoaib, Reporter
Rent-a-room relief – the survey says…

Personal Tax Rent-a-room relief – the survey says…

2m Helen Thornley, ATT Technical Officer
What should the OTS prioritise in its review of inheritance tax?

Personal Tax What should the OTS prioritise in its review of inheritance tax?

4m Alia Shoaib, Reporter
LITRG urges government to consider tax changes in disability work plan

Administration LITRG urges government to consider tax changes in disability work plan

5m Lucy Skoulding, Reporter
HMRC appeal rejected in Tottenham Hotspur case

Administration HMRC appeal rejected in Tottenham Hotspur case

6m Emma Smith, Managing Editor
HMRC urged to clarify impact of income allowances on Self-Assessments

Personal Tax HMRC urged to clarify impact of income allowances on Self-Assessments

7m Alia Shoaib, Reporter
New trading allowance: simplicity, but not as we know it

Administration New trading allowance: simplicity, but not as we know it

8m Emma Rawson, ATT Technical Officer
Wealthy individuals could circumvent top tax rate rises

Personal Tax Wealthy individuals could circumvent top tax rate rises

9m Alia Shoaib, Reporter