Excise: collections - alcohol - refund - 90 day rule for beer

Does the maximum 90 day period required by regulation 56 of the Excise Regulations 1925 (the Regulations) for the return of bulk beer, start from the time beer is first removed physically from the brewery where it was made?

Yes. The maximum 90 day period required by regulation 56 of the Regulations for the return of bulk beer starts from the time beer is first removed physically from the brewery where it was made.

A brewer removes bulk beer from the brewery at which it was made and transfers it under bond to another brewery. The beer is then entered for home consumption and duty paid. The bulk beer is later returned to the brewery at which it was made and a refund claimed. The brewer calculates the 90 day period from the time the duty was paid (and the beer left the second brewery).

Section 78 of the Excise Act 1901 allows for refunds of excise duty in such circumstances and such conditions as are prescribed. The regulations governing refunds are contained in Part III of the Regulations.

Paragraph 50(1)(k) of the Regulations requires that the bulk beer (on which duty has been paid), be returned to the brewery at which it was made, in the container in which it was removed from the brewery. A further condition is imposed by regulation 56 which states in part: A refund of Excise duty shall not be allowed in a circumstance specified in paragraph 50(1)(k) unless: (a) if the beer has been returned to the brewery at which it was made, it was so returned within 90 days after it was first removed from the brewery;

Whilst paragraph 50(1)(k) of the Regulations refers to beer on which duty has been paid, paragraph 56(a) of the Regulations quoted above, requires that the return to the brewery take place within 90 days of the time it was first removed from the brewery, not from when duty was paid.

Paragraphs 50(1)(k) and 56(a) of the Regulations make it clear that it is not relevant whether the beer has been entered and duty paid when it is first removed from the brewery where it was made, or removed under bond to a licensed premise and duty paid at some later time. Irrespective of where and when duty is paid, the 90 day period starts from the time the beer is first removed from the brewery at which it was made.

Date of amendment Part Comment 18 March 2013 Issue Edited expression for clarity Reasons for Decision Amended citation for clarity

Date of amendment | Part | Comment

18 March 2013 | Issue | Edited expression for clarity

Reasons for Decision | Amended citation for clarity