EC to fight us on brandy’s excise exemption, PM claims

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Brandy’s excise will be abolished starting 2015, according to a bill to be enforced on January 1st, but Romania must get ready for a judicial battle with the European Commission o this issue, stated PM Victor Ponta on Sunday in a TV show. “One of Romania’s neighboring countries had a conflict with the European Commission, but lost the trial. We have found a solution which is already applied, it currently finds itself at the Chamber of Deputies, a solution which we consider compatible with the European legislation, through which the brandy’s excise gets to be removed,” said Ponta.

As for the bill’s fulfillment date, the prime minister underscored that it could be approved on Monday by the Chamber of Deputies and, provided it will further be promulgated by the president, it will come into force on January 1st 2015. “Yet, EC might request us the audit. Our neighbors will probably take care of it. The Commission has conveyed us that, if we follow Hungary’s example, it won’t agree, but we have found another judicial solution. It will definitely come into force on January 1st, still we will definitely have a judicial battle with the European Commission on this issue,” added Ponta.

The Fiscal Code stipulates that producers must pay an EUR 1.000 excise for one hectoliter of pure alcohol for homemade fruits’ brandy for personal consumption.

Romanian brandy producers are demanding the changing of the Fiscal Code, namely not to levy any excise for an alcohol quantity of 200 liters intended for personal consumption for each family.

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