ACS: Alcohol Duty Should Not Be Determined by Place of Retail

ACS (the Association of Convenience Stores) has called on the Treasury to ensure that alcohol duties are not determined by what kind of business the product is sold from.

The HM Treasury call for evidence on the alcohol duty system has been issued in response to the UK’s exit from the EU, and seeks views on a number of options to simplify and improve the current alcohol duty system, including:

  • whether the method of alcohol taxation should be standardised
  • whether the duty categories should be changed or unified
  • whether more could be done to tackle avoidance and evasion of duty
  • whether distinctions should be made based on the place of retail

In its submission to the call for evidence, ACS outlines that the duty system should be blind to the type of business selling the product, highlighting the important role of convenience stores in the community and their contribution to the economy.

ACS chief executive James Lowman said: “Basing the duty system on business type would only serve to further confuse an already complex system. Duty should be applied at the highest point of the supply chain, particularly as the line between on-trade and off-trade becomes increasingly blurred. We urge the Government to focus on tackling the billions of pounds worth of non-duty paid alcohol that is damaging responsible retail businesses and the communities that they serve.”

The call for evidence was announced as part of the 2020 Budget and aims to improve the current system and reduce administrative burdens on both businesses and HMRC.  

The full submission is available here.

This entry was posted by Chloe on Fri, 27/11/2020 - 12:00