Budget 2008 > Indirect tax > Alcohol - calculation of excise duty
 

Alcohol - calculation of excise duty

For businesses paying excise duty on alcoholic drinks, Finance Act 2008 will repeal the current provision allowing HMRC to disregard fractions of a penny in any amount of duty due. This is because the half penny is no longer legal tender. Furthermore, later this year, HMRC will introduce a common method of calculation of excise duty due (arising from the different treatment of fractions) which will clarify that any fractions of amounts of duty must not be disregarded during the duty calculation.