Document ID: 31992L0084

Reference:
31.10.1992
EN
Official Journal of the European Communities
L 316/29
COUNCIL DIRECTIVE 92/84/EEC
of 19 October 1992
on the approximation of the rates of excise duty on alcohol and alcoholic beverages
THE COUNCIL OF THE EUROPEAN COMMUNITIES,
Having regard to the Treaty instituting the European Economic Community, and in particular Article 99 thereof,
Having regard to the proposal from the Commission (1),
Having regard to the opinion of the European Parliament (2),
Having regard to the opinion of the Economic and Social Committee (3),
Whereas Directive 92/12/EEC (4) lays down provisions on the general arrangements for products subject to excise duties;
Whereas Directive 92/83/EEC (5) lays down provisions relating to the harmonization of the structures of excise duties on alcohol and alcoholic beverages;
Whereas Member States should apply minimum rates of excise duty on these products by 1 January 1993 if the internal market is to be achieved by that date;
Whereas the most appropriate basis for levying duty on ethyl alcohol is the volume of pure alcohol;
Whereas the most appropriate basis for levying duty on wine and intermediate products is the volume on the finished product;
Whereas the consumption pattern of sparkling wine differs from that of still wine; whereas, therefore, Member States may be allowed to charge differing rates of duty on the two products;
Whereas the methods of taxing beer within the Member States vary, and it is possible to permit this variation to continue, in particular by laying down a minimum rate expressed as a charge related both to the original gravity and to the alcoholic content of the product;
Whereas it is possible to permit certain Member States to apply reduced rates to products consumed within particular regions of their national territory;
Whereas it is necessary for the rates laid down in this Directive to be reviewed periodically on the basis of a Commission report taking account of all the appropriate factors;
Whereas a mechanism should be set up to enable specific amounts expressed in ecu to be converted into national currency,
HAS ADOPTED THIS DIRECTIVE:
Article 1
Not later than 1 January 1993, Member States shall apply minimum rates of excise duty in accordance with the rules laid down in this Directive.
Article 2
The products covered by this Directive are:
—
alcohol and alcoholic beverages,
—
intermediate products,
—
wine,
—
beer,
as defined in Directive 92/83/EEC.
Article 3
1.   As from 1 January 1993, the minimum rate of excise duty on alcohol and alcohol contained in beverages other than those referred to in Articles 4, 5 and 6 shall be fixed at ECU 550 per hectolitre of pure alcohol.
However, Member States which apply to alcohol and alcoholic beverages a rate of duty not exceeding ECU 1 000 per hectolitre of pure alcohol may not reduce their national rate. In addition Member States which apply to the said products a rate of duty exceeding ECU 1 000 per hectolitre of pure alcohol may not reduce their national rate below ECU 1 000.
2.   The Kingdom of Denmark may, however, maintain its existing system of taxing alcohol and the alcohol contained in other products until 30 June 1996, provided that the application of that system never results in the application of a charge which falls below that which would arise from the application of paragraph 1 in accordance with the rules laid down in Directive 92/83/EEC.
3.   The Italian Republik may, however, maintain its existing system of taxing alcohol and the alcohol contained in other products, which provides a reduced rate for some categories of alcohol, until 30 June 1996, provided that the application of that system never results in the application of a charge which falls below that which would arise from the application of paragraph 1 in accordance with the rules laid down in Council Directive 92/83/EEC.
Article 4
As from 1 January 1993, the minimum rate of excise duty on intermediate products shall be fixed at ECU 45 per hectolitre of product.
Article 5
As from 1 January 1993, the minimum rate of excise duty on wine shall be fixed:
—
for still wine at ECU 0,
and
—
for sparkling wine at ECU 0
per hectolitre of product.
Article 6
As from 1 January 1993, the minimum rate of excise duty on beer shall be fixed:
—
ECU 0,748 per hectolitre/degree Plato,
or
—
ECU 1,87 per hectolitre/degree of alcohol
of finished product.
Article 7
1.   The Hellenic Republic may apply a reduced rate of excise duty to ethyl alcohol consumed in the departments of Lesbos, Chios, Samos, the Dodecanese and the Cyclades and on the following islands in the Aegean: Thasos, Northern Sporades, Samothrace and Skiros.
The reduced rate, which may fall below the minimum rate of duty, may not fall more than 50 % below the standard national rate of duty on ethyl alcohol.
2.   The Italian Republic may continue to apply the exemptions and reduced rates of excise duty, which may fall below the minimum rates, which were applied on 1 January 1992 to alcohol and alcoholic drinks consumed in the regions of Gorizia and the Aosta valley.
3.   The Portuguese Republik may continue to apply, in the autonomous regions of Madeira and the Azores, reduced rates of excise duty not falling more than 50 % below the national rates, on the following products:
(a)
in Madeira
—
wine obtained from the purely regional grape varieties specified in Article 15 of Regulation (EEC) No 4252/88,
—
rum as defined in Article 1 (4) (a) of Regulation (EEC) No 1576/89 having the geographical characteristics set out in Article 5 (3) and Annex II, point 1, of that Regulation,
—
liqueurs produced from sub-tropical fruit enriched with sugar cane eau-de-vie and having the characteristics and qualities defined in Article 5 (3) (b) of Regulation (EEC) No 1576/89;
(b)
in the Azores
—
liqueurs as defined in Article 1 (4) (r) of Regulation (EEC) No 1576/89 produced from passion fruit and pineapple,
—
eau-de-vie made from wine or from grape marc having the characteristics and qualities defined in Article 1 (4) (d) and (f) of Regulation (EEC) No 1576/89.
Article 8
Every two years, and for the first time not later than 31 December 1994, the Council, acting on the basis of a report and, where appropriate, a proposal from the Commission, shall examine the rates of duty laid down herein and, acting unanimously after consulting the European Parliament, shall adopt the necessary measures. The report by the Commission and the consideration by the Council shall take into account the proper functioning of the internal market, competition between the different categories of alcoholic drinks, the real value of the rates of duty and the wider objectives of the Treaty.
Article 9
1.   The value of the ecu in national currencies to be applied to the value of specific excise duties shall be fixed once a year. The rates to be applied shall be those obtaining on the first working day of October and published in the Official Journal of the European Communities and shall have effect from 1 January of the following calendar year.
2.   Member States may maintain the amounts of the excise duties in force at the time of the annual adjustment provided for in paragraph 1 if the conversion of the amounts of the excise duties expressed in ecu would result in an increase of less than 5 % or less than ECU 5, whichever is the lower amount, in the excise duty expressed in national currency.
Article 10
1.   Member States shall bring into force the laws, regulations and administrative provisions necessary to comply with this Directive not later than 31 December 1992. They shall forthwith inform the Commission thereof.
When Member States adopt these measures, they shall contain a reference to this Directive or shall be accompanied by such reference on the occasion of their official publication. The methods of making such a reference shall be laid down by the Member States.
2.   Member States shall communicate to the Commission the texts of the main provisions of national law which they adopt in the field governed by this Directive.
Article 11
This Directive is addressed to the Member States.
Done at Luxembourg, 19 October 1992.
For the Council
The President
J. COPE
(1)  OJ No C 12, 18. 1. 1990, p. 12.
(2)  OJ No C 94, 13. 4. 1992, p. 46.
(3)  OJ No C 225, 10. 9. 1991, p. 54.
(4)  OJ No L 76, 23. 3. 1992, p. 1.
(5)  See page 21 of this Official Journal.

Summary:
Alcohol and alcoholic beverages: approximation of excise rates
Alcohol and alcoholic beverages: approximation of excise rates
The European Union sets the minimum rates of excise duty to be applied to alcohol and alcoholic beverages from 1 January 1993.
ACT
Council Directive 92/84/EEC of 19 October 1992 on approximation of the rates of excise duty on alcohol and alcoholic beverages.
SUMMARY
The shift to flexibility in the excise duty rates levied on alcohol and alcoholic beverages, intermediate products, wine and beer involves setting the following minimum rates:
ECU 0.748 per hectolitre/degree Plato or ECU 1.87 per hectolitre/degree of alcohol for beer;
ECU 0 per hectolitre for wine;
ECU 45 per hectolitre for intermediate products;
ECU 550 per hectolitre of pure alcohol for alcohol and alcohol contained in other beverages.
For the last-mentioned category, Member States which apply a rate of duty exceeding ECU 1 000 per hectolitre of pure alcohol may reduce it but not below ECU 1 000.
For the same category, Denmark and Italy were allowed to maintain their existing tax arrangements until 30 June 1996 provided that their rates did not fall below the minimum rate laid down.
Reduced rates may be applied in certain regions of Greece, Italy and Portugal (see the 'Related Acts' section below).
Every two years, the rates of duty are reviewed and any necessary adjustments made, the first review having been made on 31 December 1994.
REFERENCES
Act
Entry into force
Deadline for transposition in the Member States
Official Journal
Directive 92/84/EEC
10.11.1992
31.12.1992
OJ L 316 of 31.10.1992
Report from the Commission to the Council, the European Parliament and the Economic and Social Committee, of 26 May 2004, on the rates of excise duty applied on alcohol and alcoholic beverages (presented pursuant to Article 8 of Council Directive 92/84/EEC on the approximation of excise duty on alcohol and alcoholic beverages) [COM(2004) 223 - Not published in the Official Journal].
The report examines the status of Community legislation in the field of excise duties on alcohol and alcoholic beverages, which entered into force on 1 January 1993 and has not been amended since. The Commission analyses the effect of the current system on the proper functioning of the internal market, the competition between the different categories of alcoholic drinks induced by different rates of excise duty, the real current value of the minimum rates of duty set in 1992 and the wider objectives of the Treaty on European Union. It concludes that greater convergence is needed between the rates of excise duty applied in different Member States, so as to reduce distortions of competition and fraud. In view of the highly disparate opinions of Member States on the appropriate level of minimum excise duty, and since any change would require unanimous agreement, the Commission refrains from formulating proposals at this stage. Instead it intends to launch a broad debate in the Council, the European Parliament and the European Economic and Social Committee. On the basis of the outcome of this debate, the Commission will decide whether or not to submit proposals on some or all of the issues raised in this report.
Council Decision 2002/166/EC of 18 February 2002 authorising France to extend the application of a reduced rate of excise duty on "traditional" rum produced in its overseas departments [Official Journal L 55 of 26.02.2002].
This Decision is justified by the fact that the distilleries in Reunion, Martinique and Guadeloupe can keep up their activities only by retaining their share of the market in mainland France. Moreover, this industry, which is not competitive, provides some 40 000 jobs. However, the reduced rate may not be more than 50% lower than the standard national excise duty on alcohol and is confined to an annual quota of 90 000 hl of pure alcohol. The measure aims to extend the derogation authorised by the Council Decision of 30 October 1995 which expires on 31 December 2002. The extension will run for a period of seven years, from 1 January 2003 to 31 December 2009.
Council Decision 2002/167/EC of 18 February 2002 authorising Portugal to apply a reduced rate of excise duty in the autonomous region of Madeira on locally produced and consumed rum and liqueurs and eaux-de-vie [Official Journal L 55 of 26.02.2002].
The derogation introduced by the Decision is considered to be vital for the survival of the local industry producing and marketing the beverages produced in Madeira and the Azores. Sales of these spirits also provide 130 jobs. The reduced rate may not be more than 75% lower than the standard national excise duty on alcohol. The extension will run for a period of seven years, from 1 January 2002 to 31 December 2008.
Last updated: 17.08.2004