Following Budget ‘18, the Sugar-Sweetened Drinks Tax (SSDT) will come into effect in the Republic of Ireland (ROI) from 1 May 2018. The tax will apply on the first supply of relevant beverages within the State where the sugar content of the beverage product is in excess of 5 grams per 100ml. The legislation determines who is regarded as being a supplier and what is regarded as being a supply.
This excise tax is very technical with many complex references to other related Irish and EU legislation and the application of customs legislation.
Companies who are making supplies of sugar sweetened drinks and who may be affected by the sugar tax include:
Sales to related entities are not subject to SSDT but tax may apply later in the supply chain when the related entity sells to an unrelated party.
Figuring out if a product is subject to sugar tax requires an in-depth knowledge of EU customs tariff classification codes. Analysis will need to be done to see which of your products are included or excluded.
Products are divided into three categories:
It is the characteristics of the product in the ready to consume form which are assessed. Such beverages include:
Certain reliefs and exemptions are available including an exemption for small producers and relief for beverages exported from ROI.
|€0.2439 per litre||Drinks with a sugar content of 8g or more per 100ml|
|€0.1626 per litre||Drinks with a sugar content of 5g or more but less than 8g per 100ml|
*Sugar in this context includes all monosaccharides and disaccharides but excludes polyols (alcohols containing more than two hydroxyl groups).
Click on our sugar tax evaluator below to help you determine whether your business may be subject to the sugar tax or get in touch with one of our team who can talk you through what you need to do.
View the fully interactive desktop version below, or if you are on mobile use the static mobile friendly option.
Director, PwC Ireland (Republic of)
Tel: +353 1 792 6093
Senior Manager, PwC Ireland (Republic of)
Tel: +353 1 792 5989