ANNOUNCEMENT 23 Aug 2017
The Government of Australia introduced some changes to the Wine Equalisation Tax rebates.
NUMBER OF INTERVENTIONS
Australian Government. Australian Taxation Office. WET rebate. Available at: https://www.ato.gov.au/misc/downloads/pdf/qc50145.pdf
Ministry of Treasury of Australia. Media Releases. "Uncorking the benefits for wine producers" Available at: http://kmo.ministers.treasury.gov.au/media-release/080-2017/
Australian Government. Australian Taxation Office. Producer rebate. Available at: https://www.ato.gov.au/business/wine-equalisation-tax/producer-rebate/
On August 17, 2017, a joint statement from the Australian Minister for Revenue and Financial Services, Deputy Prime Minister and Minister for Agriculture and Water Resources, and the Assistant Minister for Agriculture and Water Resources announced the adoption of the Treasury Laws Amendment (2017 Measures No. 4) Bill 2017. The amendment reduces the Wine Equalisation Tax (WET) rebate. The amendment was passed on August 23, 2017.
The new legislation reduces the maximum amount that can be claimed per firm as a tax rebate from AUD 500,000 (circa USD 396,000) to AUD 350,000 (USD 277,000).
In addition, it changes the eligibility criteria depending on when the winemaking process started and when the wine was sold or dealt with differentiating between 2017 or earlier vintage wine and 2018 and later vintage wine.
The rebate reduction enters into force on July 1, 2018.