Moldovan Ministry of Agriculture Denied Plans on Home-Made Wine Tax
OREANDA-NEWS. August 08, 2012. As reported by the Office, the statement made by Officer Ministry of Agriculture on the need to tax home-made wine in case of exceeding a certain limit of its production, it was his personal statement, borrowed from European practice.
This view was stated in the discussion about the struggle against alcoholism at meeting of the National Council for Coordination of the National Programme for the control of alcohol in 2012-2020. Ministry of Agriculture said it did not consider a bill to levy any duties or taxes on small wine producers. Moreover, this prerogative is not even within the competence of the Ministry. Office reminded that, on the contrary, it developed earlier bill, according to which the wine is no longer considered alcoholic beverage in the country but a food product.
This bill has already been approved by the Government and is in parliament. Also as a result of government initiative at the moment the wine is no longer subject to excise duty. It should be noted that on August 3 at the National Meeting of the Coordination Council for the National Programme for the control of alcohol in 2012-2020 the Head of the State Inspectorate for Supervision of alcoholic beverages Andrei Gurin said that Moldova must enter tax on home-made wine producers in case of its production in large quantities, noting that in many European countries there is similar practice.
According to him, a ton of house wine is enough for a family of 4 persons, so they should impose tax on the excess. Andrei Gurin explained the need for a tax-limit volumes on home-made wine by the authorities desire to reduce alcohol abuse, and keep track of production of home-made wine, which is consumed in large quantities, but never accounted for.
Experts estimate that about 60% of the total volume consumed in Moldova wine is wine of home production, the remaining volumes fall on wine bottled at winery. At the same time in the domestic market, only 15% of bottled wine is sold, and the rest is exported.
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