The Albanese Government has introduced the legislation today freezing the indexation on the draught beer excise and custom duty for two years.
This is a win for beer drinkers, brewers and pubs. It will support businesses, regional tourism and customers across the country.
Indexation to the Consumer Price Index is applied to draught beer excise and customs duty twice a year in February and August under arrangements that have been in place for decades.
The legislation will ratify the tariff proposals tabled on 24 July 2025 ensuring this change to freeze indexation from August 2025 is put into law.
These are common sense measures, and the freeze on indexation to draught beer excise and custom duty is on top of other support we are providing to ease the pressure on businesses and customers.
The Government also announced tax relief for Australia's distillers, brewers and wine producers. Currently brewers and distillers get a full remission of any excise paid up to $350,000 each year.
We will increase the excise remission cap to $400,000 for all eligible alcohol manufacturers and we will also increase the Wine Equalisation Tax producer rebate cap to $400,000 from 1 July 2026.
Quotes attributable to Treasurer Jim Chalmers
"We're focused on easing the cost of living for Australians, and we know that every little bit helps.
"This will help take a bit of pressure off beer drinkers, brewers and support regional businesses.
"Whether it's a tax cut for every taxpayer or help with energy bills we're doing everything we responsibly can to help with the cost of living."
Quotes attributable to Assistant Treasurer Daniel Mulino
"By freezing the indexation, we are giving a helping hand to small businesses across the country."
