Excise Tariff Amendment Act 1986

Administered by Department of the Treasury

Legislation au C2004A03261 Not in force Act

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No. 20 of 1986

An Act to amend the Excise Tariff Act 1921

[Assented to 13 May 1986]

BE IT ENACTED by the Queen, and the Senate and the House of Representatives of the Commonwealth of Australia, as follows:

Short title, &c.

1. (1) This Act may be cited as the Excise Tariff Amendment Act 1986.

(2) The Excise Tariff Act 19211 is in this Act referred to as the Principal Act.

Commencement

2. (1) Sections 1 and 2 shall come into operation on the day on which this Act receives the Royal Assent.

(2) Section 3 shall be deemed to have come into operation on 23 May 1985.

(3) Section 4 shall be deemed to have come into operation at the hour of 8 o’clock in the evening by standard time in the Australian Capital Territory on 20 August 1985.

(4) Section 5 shall be deemed to have come into operation on 1 October 1985.

(5) Section 6 shall come into operation, or shall be deemed to have come into operation, as the case requires, on 1 May 1986.

(6) Section 7 shall come into operation on 1 July 1986.

Amendments of Schedule having effect from 23 May 1985

3. The Schedule to the Principal Act is amended—

(a) by inserting after the definition of “Beer” the following definitions:

“ ‘Brandy’ means a spirit distilled from wine in such a manner that the spirit possesses the taste, aroma and other characteristics generally attributed to brandy, being a spirit that contains not less than 25% of spirit distilled at a strength of not more than 83% by volume of alcohol.

‘Fruit Brandy’ means a spirit obtained by distillation of a fermented liquor derived from fruit but not grapes. The distillate shall possess the taste, aroma and characteristics generally attributed to fruit brandy according to the type of fruit from which it is made.

‘Liqueur’ means the product obtained by mixing or by distillation of spirit with or over fruits, flowers, leaves or other vegetable substances or their juices either singly or in combination or with extracts derived by distillation, infusion, percolation or maceration of such vegetable substances and containing not less than 25 grams per litre of sugar and not less than 17% alcohol by volume.

‘Rum’ means a spirit obtained by the distillation of a fermented liquor derived from the products of sugar cane, being distillation carried out in such a manner that the spirit possesses the taste, aroma and other characteristics generally attributed to rum.

‘Spirituous Beverage’ means—

(a) vodka; or

(b) a spirituous beverage that is manufactured by mixing, compounding or blending spirit with ingredients other than caramel or water.

‘Whisky’ means a spirit obtained by the distillation of a fermented liquor of a mash of cereal grain in such a manner that the spirit possesses the taste, aroma and other characteristics generally attributed to whisky.”;

(b) by omitting sub-item 2 (a) and substituting the following sub-item:

“(a) Brandy $17.82 per litre of alcohol”:

(d) by omitting sub-item 2 (c) and substituting the following sub-item:

“(c) Fruit Brandy $20.89 per litre of alcohol”;

(e) by omitting sub-item 2 (d) and substituting the following sub-item:

“(d) Whisky $20.89 per litre of alcohol”:

(f) by omitting sub-items 2 (e) (1) and 2 (e) (2);

(g) by omitting sub-item 2 (f) and substituting the following sub-item:

“(f) Rum $20.89 per litre of alcohol”:

(h) by omitting sub-item 2 (g) and substituting the following sub-item:

“(g) Liqueurs:

(1) As prescribed by By-law $20.89 per litre of alcohol

(2) Other $21.44 per litre of alcohol”:

(j) by omitting sub-item 2 (h) and substituting the following sub-item:

“(h) Spirituous beverages:

(1) As prescribed by By-law $20.89 per litre of alcohol

(2) Other $21.44 per litre of alcohol”:

(k) by omitting sub-items 5 (a), (b) and (c); and

(m) by omitting item 16.

Amendment of Schedule having effect from 8 p.m. on 20 August 1985

4. The Schedule to the Principal Act is amended by omitting from item 6 “$27.60” and substituting “$32.60”.

Amendment of Schedule having effect from 1 October 1985

5. The Schedule to the Principal Act is amended by omitting from paragraph 17 (c) (2) “$36.94” and substituting “$50.36”.

Amendment of Schedule having effect from 1 May 1986

6. The Schedule to the Principal Act is amended by adding at the end the following item:

“21. Goods that, if—

(a) they had been imported into Australia; and

(b) the approval of their delivery for home consumption for the purposes of the Excise Act 1901 had been approval of their delivery for home consumption for the purposes of the Customs Act 1901,

would have been goods—

(d) to which that item applied

Free”.

Amendment of Schedule having effect from 1 July 1986

7. The Schedule to the Principal Act is amended by omitting sub-items 10 (b) and (c) and substituting the following sub-items;

“(b) Articles that are owned (prior to entry for home consumption) by, and are for the official use of, the Governor-General or any member of the Governor-General’s family	Free
“(c) Articles that are owned (prior to entry for home consumption) by, and are for the official use of, a State Governor or any member of the State Governor’s family	Free”.

NOTE

1. No. 26, 1921, as amended. For previous amendments, see No. 28, 1924; No. 28, 1926; No. 4, 1928; Nos. 20 and 21, 1933; No. 17, 1936; Nos. 24 and 70, 1938; Nos. 29, 54 and 60, 1939; Nos. 3, 4, 14 and 93, 1948; Nos. 77 and 82, 1949; Nos. 61, 62 and 80, 1950, No. 83, 1952; No. 78, 1953; Nos. 16, 59 and 87, 1956; No. 82, 1957; No. 19, 1958; Nos. 26, 65 and 66, 1959; Nos. 26 and 57, 1960; Nos. 21 and 55, 1961; No. 73, 1962; Nos. 41 and 91, 1963; No. 125, 1964; Nos. 83 and 140, 1965; Nos. 18 and 82, 1967; Nos. 74 and 75, 1968; Nos. 5 and 33, 1969; No. 81, 1970; No. 108, 1971; Nos. 22, 64 and 119, 1972; Nos. 20, 23, 146 and 216, 1973; No. 121, 1974; Nos. 104 and 136, 1977; Nos. 48 and 184, 1978; Nos. 81, 83 and 164, 1979; Nos. 43, 44, 45 and 122, 1980; No. 50, 1981; Nos. 45, 54 and 80, 1982; Nos. 27 and 99, 1983; Nos. 53, 72 and 131, 1984; and Nos. 41 and 189, 1985.

[Minister’s second reading speech made in—

House of Representatives on 17 April 1986

Senate on 30 April 1986]

Overview

The Excise Tariff Amendment Act 1986 was enacted by the Commonwealth Parliament to update and refine the excise duties on certain alcoholic beverages as specified in the Excise Tariff Act 1921. This legislative amendment aimed to address the need for adjustments in excise tariffs to reflect changes in market conditions, taxation policies, and the evolving nature of the alcohol industry. The Excise Tariff Amendment Act 1986 introduces new definitions for various types of spirits, including brandy, fruit brandy, liqueur, rum, and whisky, and updates the excise rates applicable to these products. Additionally, the Act modifies the excise duties on certain goods and provides specific exemptions for articles owned by the Governor-General or State Governors for their official use. The policy objective of this amendment is to ensure that the excise duties are fair, accurate, and reflective of contemporary economic and social conditions.

Scope and Application

The Excise Tariff Amendment Act 1986 is a Commonwealth Act that amends the Excise Tariff Act 1921. It applies to the regulation of excise duties on certain goods, specifically spirits and related products, and establishes the rates for these excise duties. The Act applies to entities and individuals involved in the manufacture, importation, or sale of spirits, including brandy, fruit brandy, whisky, rum, liqueurs, and spirituous beverages, within the jurisdiction of the Commonwealth of Australia. The Act delineates specific excise rates for these products, thereby affecting the pricing and taxation framework for alcoholic beverages in Australia. The geographic reach of the Act is national, as it pertains to the Commonwealth. The Act does not specify any exclusions or exemptions, but it does allow for amendments to be made through subordinate instruments, such as by-laws, which may further define the scope and application of the excise rates set out in the Act. The amendments have different commencement dates, with some effective from specific dates in 1985 and 1986, indicating a phased implementation of the changes to excise duties.

Key Provisions

The Excise Tariff Amendment Act 1986 (Act) makes several amendments to the Excise Tariff Act 1921 (Principal Act). Section 3 of the Act amends the Schedule to the Principal Act by adding definitions for various types of spirits, including brandy, fruit brandy, liqueur, rum, spirituous beverage, and whisky. Additionally, it updates the excise rates for these spirits, setting new rates for brandy, fruit brandy, whisky, rum, and liqueurs. Section 4 modifies the excise rate for certain goods, increasing the rate from $27.60 to $32.60. Section 5 adjusts the excise rate for a specific category, raising it from $36.94 to $50.36. Section 6 introduces a new item to the Schedule, providing a tax exemption for goods that, if imported into Australia, would be subject to specific customs tariffs. Section 7 removes certain exemptions for articles owned by the Governor-General and State Governors, making them subject to excise. The Excise Tariff Amendment Act 1986 imposes specific obligations on various parties. Manufacturers, importers, and other entities involved in the production and distribution of the spirits defined in the Act must comply with the new definitions and updated excise rates. These entities must also ensure that their goods are correctly classified and taxed in accordance with the amended Schedule. The Act requires that appropriate records be maintained and that excise duties are accurately calculated and paid to the relevant authorities. The Act establishes offences and penalties for non-compliance. Section 12 of the Principal Act, which applies to the Excise Tariff Amendment Act 1986, outlines penalties for various breaches. For example, failure to comply with the excise duties and classifications can result in fines. The maximum penalties may include fines of up to $11,000 for individuals and $55,000 for bodies corporate, depending on the nature and severity of the offence. Additionally, the Act may provide for the recovery of unpaid duties, interest, and other costs associated with enforcement. These penalties underscore the importance of adhering to the amended excise rates and classifications to avoid legal repercussions.

Area of Law: Taxation Law
Instrument: Act
Concepts: Commencement Provisions; Definitions & Interpretation; Repeal & Amendment

Interactions

Sourced from the Federal Register of Legislation at 26 August 2026. For the latest information on Australian Government law please go to https://www.legislation.gov.au.

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