AUSTRALIA SET TO SLASH BEER TAX IN UPCOMING BUDGET
Scott Morrison will slash the tax on a beer by 30 cents in the March budget despite complaints it‘s a tax cut for blokes.
The push to cut beer taxes is being pushed as a modest incentive to kickstart the economy and get people back in pubs and clubs after years of Covid-19 restrictions.
The proposal, which would see the tax on a keg of beer drop from $70 to $35, would translate to a 40 cent cut in the price of a pint, while a schooner would be 30 cents cheaper and a pot 20 cents.
It was first flagged as under serious consideration last month, with reports in News Corp newspapers that it would cost the federal budget close to $153 million a year.
Sky News‘ political editor Andrew Clennell has reported today that the price cut is now locked in and will be announced in coming weeks as a cost of living measure.
Brewers Association CEO John Preston has previously argued that the proposal would have a tiny impact on the government’s alcohol excise revenue, which is around $7 billion a year, but it would have a big impact for beer drinkers and struggling pubs and clubs.
Scott Morrison will slash the tax on a beer by 30 cents in the March budget despite complaints it‘s a tax cut for blokes.
At least 20 Coalition MPs – many of whom occupy marginal seats – have previously written to the Treasurer Josh Frydenberg endorsing the 50 per cent cut in excise on draught beer.
However, Spirits and Cocktails Australia chief executive Greg Holland has hit back at any potential changes, pointing out the discounts would mainly benefit men.
“Why would you deliver a tax cut that ignores the choices of nine out of 10 Australian women?” he said.
“Imagine Scott Morrison or Treasurer Josh Frydenberg walking into a bar and shouting a round of beers for a bunch of blokes, while turning their backs on the women enjoying a quiet gin and tonic or cocktail after work. It would be considered outrageously sexist and out of date – but that is exactly what this proposal represents.”
Mr Holland has argued for the price cut to deliver tax relief across the board.
“That would give distillers and the nearly 50,000 hospitality venues around Australia that don’t serve draught beer some much-needed relief after two tumultuous years of lockdowns and a bit of predictability as they forge ahead,” he said.
Source: Written by Samantha Maiden >>> https://www.news.com.au/lifestyle/food/drink/australia-set-to-slash-beer-tax-in-upcoming-budget/news-story/5db5872dda2b756eda8c3f2aeac8befc