Sweden to face EU Court over alcohol tax

Sweden should not be allowed to have higher tax on wine than on beer quoting a top EU judge.

Paolo Mengozzi, the Advocate General
of the European Court of Justice, said in Luxembourg on Wednesday that the
difference in taxes breaks EU law. The European Commission is taking Sweden to
court, arguing that the higher tax on wine is intended to benefit Sweden's
domestic beer producers at the cost of foreign wine producers, according to
Swedish news agency TT. The Swedish government claims that the tax difference
is negligible and is not a decisive factor when consumers choose between beer
and wine. But Mengozzi says that regardless of the criteria used in comparing
prices, wine is still taxed considerably higher than beer. This, he argues, is
sufficient evidence to prove the tax system treats wine consumers unfairly, and
that other EU nations who produce wine are losing out. The European Court
usually follows the Advocate General's recommendations, although it can go
against them.