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Alcohol tax - commercial

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  • 07-01-2018 10:22pm
    #1
    Registered Users Posts: 1


    I've been giving some thought to producing a fruit spirit on a small commercial scale. Can anyone tell me of a good place to buy bulk spirits, in the 100s of litres? I'm waiting to hear back from a couple of distilleries at the moment.

    Would I need to pay alcohol tax twice? Once when buying the bulk spirits and again when selling the finished product?

    Revenue doesn't seem to be clear on this on their website but maybe that's because I'm a total amateur...


Comments

  • Moderators, Recreation & Hobbies Moderators Posts: 11,793 Mod ✭✭✭✭BeerNut


    Get your solicitor on it. It's not an area of tax law you should be stumbling around blindly in, or asking randomers on the internet about. Going commercial means being a business.


  • Registered Users Posts: 8,295 ✭✭✭n97 mini


    You're talking about excise duty. If you are set up properly (you will need to be) you won't pay it twice.


  • Registered Users Posts: 16,809 ✭✭✭✭the beer revolu


    You will only pay duty once.
    If you purchase the alcohol, the duty will be built into the price. Duty is €42.57 per litre of pure alcohol.
    You could try Carbon group - they sell whey alcohol and others.

    The problem is cash flow - a lot of your money will be tied up in duty.
    The way around this is to have a bonded warehouse. That way you take delivery of the alcohol with duty and VAT suspended and only pay the duty as product leaves your warehouse for sale.
    The problem with a bonded warehouse is that it is difficult to get this status and can be expensive. Talk to revenue about this.

    If any of this is unclear, do ask questions.


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