Studies and Reports

Under Article 8 of Council Directive 92/84/EEC on the approximation of the rates of excise duty on alcohol and alcoholic beverages, the Commission is required to produce a report and, where appropriate, a proposal on the minimum rates of excise duty, taking 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.

On 26 May 2004 the Commission presented its report on the rates of excise duty applied on alcohol and alcoholic beverages (COM (2004) 223, press release IP/04/669 and frequently asked questions MEMO/04/126). In the report t he Commission concludes that more convergence of the rates of excise duty in the different Member States is needed so as to reduce distortions of competition and fraud.

However, given the widely differing views in the Member States about the appropriate levels of the minimum rates, and given that any change would require unanimous agreement, the Commission is not making a proposal at this time. Instead the Commission wishes to launch a broad debate in the Council, the European Parliament and the Economic and Social Committee.

On the basis of the outcome of this debate the Commission will decide whether or not to submit proposals on all or some of the issues raised in the report.

To help inform the above-mentioned report, and in line with the remit set down in Article 8, a study on the competition between alcohol drinks was undertaken which was finalised in 2001.

The full version of this document is available on CD-ROM and can be obtained via:

European Commission
Directorate-General for Taxation & Customs Union
Unit E-4 (Economic aspects of taxation)

On this site you can find Chapter 1 of the report - which is an introduction and overview, including an executive summary in English, French and German. This document was prepared for the Commission by Customs Associates Ltd.

Texts are available in pdf .