The 70 per cent tax hike on ready-to-drink alcoholic beverages (alcopops) has received Senate approval five months after being rejected by Senators. The permanent hike was introduced at last year’s budget and was added to the price of drinks before being approved by Parliament. The rejection of the Bill in March by the Senate meant that the funds raised should be delivered back to distillers, but the passing of a separate Bill validated the tax that had already been received. The Coalition... ...Read more »

Alcohol beverage distributor and manufacturer Independent Distillers fear the introduction of alcopops tax will cut jobs, not drinking. If new excise measures are passed by the Senate, this could mean the closure of its factory in Laverton – a loss of 135 jobs, and potentially a further 150 among suppliers and customers. It could also mean the company may have to consider moving operations overseas. Since the 70 per cent tax on ready-to-drink alcoholic beverages was introduced in April 2008... ...Read more »

Pringles have been officially been declared as potato crisps (chips) in the UK, obliging Procter & Gamble to continue paying millions of pounds in value added tax (VAT). In Britain, most bakery products such as cakes and bread are free from the VAT, but potato crisps are liable for the 15 per cent tax. As a result, Procter & Gamble have been trying to overturn a decision which lists Pringles as a potato chip. Last year, at the High Court in the UK, Procter & Gamble claimed that Pringles... ...Read more »

The Winemakers’ Federation of Australia (WFA) has welcomed a decision by the Federal Government to resist increasing the tax on wine in the Budget released on Tuesday night. In the lead up to the Budget there had been reports of a tax hike for both beer and wine, but both were left alone as the Government continues to push their alcopops levy. The Government did, however, include a change to the definition of beer, designed to stop beer or wine-based “alcopops” being produced. “Given... ...Read more »

With speculation rife that beer and wine will be subjected to tax hikes in the upcoming budget, the Australian Winemakers Federation has expressed fears about the future for the sector. CEO Stephen Strachan said that tax increases would cause a substantial loss of jobs as the industry continues to struggle with a glut. “There is concern in the industry that the Government will move in the forthcoming Budget to increase the tax on wine, or to look at a change in the way wine is taxed,”... ...Read more »

The spirits sector has agreed to ban alcohol advertising during sporting events before 9pm, after carrying through with a pledge to Family First’s Steve Fielding to ban daytime sports advertising for a year after the alcopops bill was not passed. “The Distilled Spirits Industry has agreed to cut alcohol advertising during sports events in family viewing time before 9pm and they will lobby other industry groups to do the same,” Senator Fielding advised. “This is a significant... ...Read more »

The Australian Medical Association is recommending that the money raised by the failed alcopops tax should be spent on a trial buy-back to reduce alcohol advertising in sport. AMA President, Dr Rosanna Capolingua, said handing the money, $340 million in total, back to the liquor industry made no sense. “This money should be put to good use. It could fund a carefully evaluated trial where government buys back advertising space that would otherwise be used by alcohol marketers during sporting... ...Read more »

The alcopops tax has failed to receive enough votes in the Senate after Family First Senator Steve Fielding sided with the Coalition. The Bill was initially passed 32-31 after National Senator Nigel Scullion missed out on voting as he failed to hear the bell, which signals the time for a vote. The Labor Government bowed to convention, however, and allowed a second vote. It was then defeated 32-31, with Labor Senator Mark Bishop caught missing in action on what turned out to be a chaotic day for the... ...Read more »

A parliamentary committee has today urged the Senate to pass the controversial alcopops tax hike, despite admitting it was unsure if the measure had any impact on binge drinking since being introduced in April last year. The news comes as Health Minister Nicola Roxon meets with Family First Senator Steve Fielding, whose support is crucial to passing the bill. The Senate Standing Committee on Community Affairs released a report into the impact of the 70 per cent tax hike on ready-to-drink alcoholic... ...Read more »

The Rudd Government is planning to invest the money raised from the controversial alcopop tax for a number of initiatives beyond tackling alcohol abuse, including increasing focus on healthy eating. Among the plans are intensive programs to support at-risk children achieve healthy weight and greater promotion of healthy eating in “children’s settings” – primarily at schools. The government is also likely to subsidise employers to structure healthy eating into the working day. There... ...Read more »