SPIR7030 - Calculation of reduced rates
The amount of discount producers are eligible for will depend on the product type; if the product is in draughtÌýcontainers and how many hectolitres of pure alcohol are produced annually.ÌýÌý
To work out annual alcohol production,ÌýproducersÌýneed to know how much alcohol is in the products they make. This can be done by multiplying a productâ€�sÌývolume by its ABV.ÌýAnnual alcohol production is given in hectolitres of alcohol.ÌýÌý
Products that were spoiled, thrown away or produced in the process of making another alcoholic product (e.g.,Ìýwort when making beer) does not need to be includedÌýin the annual production amount.Ìý
Alcohol contained in alcoholic products not eligible for SPR rates, e.g.,Ìýalcoholic products above 8.5% ABV must be included in the total alcohol production figures.Ìý
HowÌýto calculate the reduced rates including an example can be foundÌýin theÌýworking out SPR dutyÌýguidance.Ìý
Where premises are only used for part of the year (including premises that begin to be used part way through a productionÌýyear), the alcohol production amountÌý(or estimated amount)Ìýis worked outÌýbyÌýâ€�
Ìý Ìý Ìýdividing the alcohol production amount (or estimated amount) by the number ofÌýrelevantÌýdays of the production year, andÌý
Ìý Ìý Ìýmultiplying the number above by the number of days in the production year.Ìý
There is also an online calculator, to assist producers in determining their discount rates.ÌýÌý