Canada Global(Web News)Finance Minister Chrystia Freeland says that the federal government will limit the annual alcohol excise tax increase on beer, spirits and wine to two percent for another two years.
The alcohol excise tax was set to increase by 4.7 percent, linked to inflation, on April 1, but Freeland announced Saturday that the increase is being kept at a lower rate until 2026.
“In recent years we’ve seen the cost of key beer ingredients increase due to the effects of global inflation and that’s been a real challenge for brewers in Canada.
Our government really recognizes the value,” he said. As small businesses and we also recognize the affordability challenges, we have decided that the
alcohol industry is pressing the government to increase the excise tax before the planned excise duty deadline of 1 April. Tax increase should be abolished.
Freeland also announced some tax relief for local craft breweries by halving the excise duty rate for two years on the first 15,000 hectoliters of beer.
