Alcohol Duty | New digital service
A new digital service for Alcohol Duty approvals, returns, and payments for UK producers will be introduced in March 2025.
A new digital service for Alcohol Duty approvals, returns, and payments for UK producers will be introduced in March 2025.
HM Revenue & Customs (HMRC) will be contacting approved producers of alcoholic products in the UK to inform them about the new digital service and how to get ready.
The new digital service aims to make it simpler, quicker, and easier for UK producers of alcoholic products to accounts for and pay the duty they owe, across all types of alcoholic products.
What compounders and rectifiers need to know
When the new digital service launches in March 2025, compounders and rectifiers will no longer need to use an excise warehouse. Instead, they will need to be approved as an alcoholic product producer in the new digital service, and submit monthly duty returns and payments.
HMRC will migrate existing compounder or rectifier licenses to the new Alcohol Products Producer Approval and issue an identification number (the 'APPA ID').
What cider makers need to know
Cider makers of all sizes - including the smaller ones - will need to get approval to produce cider in the new digital service, due to launch in March 2025.
The smallest cider makers, who produce less than 5 hectolitres of alcohol in a 12-month period, will not need to submit a return on the new digital service. However, if and when they go over this threshold, they will need to submit a monthly duty return.
HMRC will issue a new APPA ID to currently exempt cider makers, and issue them with an identification number so that they can use the digital service.
What do I need to do now?
HMRC will share further details on the new digital service closer to its launch date, including details on how to access it.
In the meantime, HMRC customers should remember that they need to accurately account for Alcohol Duty using the current processes. Before submitting their monthly Alcohol Duty return, they need to make sure they apply the correct rates and check if they can take advantage of the two reliefs: and .
See .
First published 19 September 2024