Marketing

Beer tax postponement offered to German breweries

The German government has given breweries there the option of deferring their annual beer tax as part of the measures being used to fight the economic effects of the Coronavirus. 
Breweries there have run into financial problems as a result of the pandemic with no domestic on-trade market and export sales drying up.

Breweries there have run into financial problems as a result of the pandemic with no domestic on-trade market and export sales drying up.

Breweries wishing to avail of this tax deferral – estimated to be worth around €650 million by Germany’s Federal Ministry of Finance – may apply to the Ministry for same until 31st December this year.

“In order to improve the liquidity of breweries in the current difficult situation and to protect jobs, the Federal Ministry of Finance and the state counterparts have agreed that the beer tax can be deferred,” stated a Ministry spokesman.

Germany has been in lockdown since March 22nd with retail outlets including pubs and restaurants closed bar delivery and takeaway services.

With this lockdown unlikely to end much before April 19th at the earliest, breweries there have run into financial problems as a result of the pandemic with no domestic on-trade market and export sales drying up.

The option to defer taxes was described as an important signal for the industry by the German Brewers’ Association.

 

 

 

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