New tax slugs drinkers - prices rise $20 per slab
Oliva Joyce pours a newly taxed beer.
Images - The Riverine Grazier / Kimberly Grabham.
By Kimberly Grabham
It’s a bleak situation, with the yet another beer tax hitting the pockets of all.
From August 1, both retailers and establishments will be noticing the pain.
This is expected to translate to $20 on a slab of full strength, or a dollar a full strength middie.
Publicans will be stung around $80 in beer tax for a full-strength keg.
Brewers Association of Australia said the tax has risen by more than 10 per cent since 2022 federal election.
Proprietor of the New Crown Hotel, Rebecca Tumelero says that it is just the latest in a slew of these rises, since Albanese’s Labor Government came into power.
“We have had a few price rises in recent times,” she said. “We usually absorb those increases, and us as a business will be the ones that incur that cost. We like to think of our many regulars, especially those on pensions, that like to come down and enjoy being here. It’s hard on everyone.
“We have had to, however, increase our prices somewhat with this additional rise, as much as we are loathe to. We have had no choice. Everything is going up these days, such as food and meat, it’s a difficult thing.”
Loyal patron, Dave Walker, understands that times are tough for everyone, and does not mind that prices must rise.
“I used to be a publican, and I know how tough it can be,” he said. “It doesn’t worry me.”
Proprietor of the Riverina Hotel, David Sloane, is frank with his concerns.
“The prices are out of control,” he said. “It is starting to close hotels, and things are looking grim across the board in the industry.
“Percentages are down, and it has a detrimental impact on jobs and businesses. Wages rise, cost of living and operating rises, and unfortunately, this industry, and the hospitality industry at large is suffering.”
Over 2020 and 21, the government pocketed $2.5 billion in excise and customs duty on beer, including draught and packaged beverages.
Beer tax made up 42 per cent of the price of a carton of beer, equating to $20 in excise tax, plus your 10 per cent GST for a $50 slab.
“For a small pub, club or other venue the latest tax hike will mean an increase of more than $2,700 a year in their tax bill – at a time when they are still struggling to deal with the ongoing impacts of the pandemic,” CEO of Brewers Association of Australia John Preston told the Guardian.
Australia’s beer tax is climbing, coming to be one of the highest in the world, with Finland and Norway the only countries surpassing Australia’s charges.
Patron Dave Walker says he understands the price rises, having been a publican before retirement.
