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Tuesday, 02 December 2008

Tug-of-war over alcopops tax money

29/08/2008 7:49:00 PM.  | 
The federal government says the opposition's stance on the new alcopop tax could mean that taxes paid by consumers could end up going straight to the alcohol industry.

Prime Minister Kevin Rudd says the $300 million already raised by the new tax will go back to the manufacturers if the Senate blocks the alcopops laws, which is looking likely.

"As I understand it from the legislation, if the Liberals proceed with blocking this in the Senate, which they seem to be doing, that $300 million then gets anchored into the back pocket of the distillers," Mr Rudd told Fairfax Radio Network today.

"Basically the distillers obtain for themselves a windfall.

"Now I've got to say, why do you think the distillery companies have been jumping up and down so much about this?"

Mr Rudd is using that possibility to try to bludgeon opposition senators into passing the laws.

The Liberals say the industry must not get the money and the alcopops makers say they do not want it.

Our members do not seek to profit from a situation in which the government is forced to return tax revenues collected without Senate approval," Distilled Spirits Industry Council of Australia spokesman Stephen Riden said.

"If and when enabling legislation is rejected by the Senate, all revenue gained from this poorly conceived tax trial should be returned to the community for use in alcohol-related harm minimisation programs.

"The $200 million collected to date would make a huge impact if directed towards community-based education and intervention programs."

The government increased the tax on alcopops by 70 per cent in April, saying the move would help stamp out teen binge-drinking but the opposition opposes the move, saying it's just a tax grab.

COMMENTS

Friday, 29 August 2008

Logic suggests that if you slug RTDs, consumers will only shift their drinking habbits not stop drinking alltogether, hence the move to 700ml bottled spirits. The issue here is education, change the drinking culture or consumers will continue to change what they drink not stop drinking.

Posted by: Spok Vulcan, Vulcan

 

Friday, 29 August 2008

Mr Rudd , you are trying to force a tax that hasnt been passed in the Senate. If you have collected $200 mill without the legislation being passed, the money should go straight to health services that treat alcohol related illness or, a campaign of the magnitude of the Anit Smoking Quit Campaign educating young people on the dangers of binge drinking. How you have managed to collect a tax that hasnt been passed by the Senate beggars belief, and if it isnt passed, GIVE IT BACK immediately.

Posted by: susan lawe, gippsland

 

Saturday, 30 August 2008

Susan, i sort of lean to the health dept recieving it all. The advertising side should be mandated for the Industry to supply, same with the Ciggies, taxes to health and they should fund the Add Campaigns. naturally prices would rise to accomodate the cost structure, so user pays. Health would get a good blast from it.Unfortunately, seeing as how we're a sold out nation, they guv'l need the cash for Corporate handouts as well. Means Health will still miss out.

Posted by: Nick Again, Maryborough

 

Saturday, 30 August 2008

Who is going to benefit from the $200 million collected?Surely this should be put into the health system. Oh but it's federal tax right? Well it will only go into the coffas and provide more spending money for those lining their pockets!!!! paying the wages of politicians no doubt and any other useless govt department or non for profit organisation!! It is in the public interests to know what will happen with this money and if it is not appropriately distributed there should be questions asked!

Posted by: Dan Concerned, *

 

Sunday, 31 August 2008

This was always a kneejerk reaction by an ill-informed green government. The money should go to rehabilitate and educate the bureaucrats 14 to 16 year old daughters. I work in the industry and the kids are now drinking multiples of 700ml bottles of spirits instead of measured 375ml or 440 mil premixed drinks.The (proposed) legislation has had the exact opposite result (excluding a tax grab)

Posted by: Dave icrezon, Sydney

 
 

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