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54
3.2.87
107.
Second, I propose a minor structural adjustment
to reduce the number of duty rates. Duties on cider and
perry will be increased by rather less than the rate of
inflation to bring them into line with the basic rate of
duty on beer. Both categories will now attract a duty
rate of $1.28 per litre.
108.
I propose also to increase the basic rates for
imported ethyl alcohol and methyl alcohol from $4 per
litre to $4.30 per litre (38). This will maintain the
rates in real terms and keep them in line with the rates
for non-European type spirits.
109.
All these changes in rates are effective this
afternoon. I estimate the additional revenue yield in
1987-88 to be $50 million, assuming no consumer resistance.
Imported Tobacco
110.
year (39).
Duty rates on imported tobacco were revised last
Further revisions are in order this year to
maintain duty yields in real terms.
(38)
(39)
Appendix E.
1986 Budget Speech, paragraph 105.
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