The German Government on Monday moved to give breweries greater financial leeway during the novel coronavirus pandemic by giving them the option to defer the annual beer tax.
According to the spokesman for the Federal Ministry of Finance, the Federal Ministry of Finance and its state counterparts agreed that beer tax can be deferred to improve liquidity of breweries in current difficult situation and to protect jobs.
The ministry said applications to defer the tax could be submitted to the main customs offices until Dec. 31, for taxes that were already due or taxes that become due before that date.
“The main customs offices are to accommodate the breweries to avoid undue hardship.
Frank-Walter Steinmeier
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“Charging interest on the deferral can be waived, as a rule,’’ the spokesman said.
The German Brewers’ Association called the deferral option an important signal for the industry, which is under great pressure.
Many breweries have run into financial problems in connection with the coronavirus pandemic as exports have largely ceased, events have been cancelled and restaurants have had to close.
According to information from the Lebensmittel Zeitung, a trade publication, a standard crate with 20 half-litre bottles of beer will be charged 0.94 euros ($1.02) in beer tax.
According to finance ministry’s figures, the beer tax is paid to the federal and states, and the payments from 2019 are expected to amount to a total of some 650 million euros ($703 million).
