By September 1: Tax Stamps on Alcoholic Beverages

After cigarette boxes, a few years ago, the turn of alcoholic beverages to be with tax stamps (excise stamps). A decision in the last budget and, according to the Mauritius Revenue Authority (MRA) will be effective September 1. If at this point, the procedures for the implementation of this new program for the enhancement of tax audits were carried out by a foreign company awarded the contract, local producers have expressed reluctance, saying the size of the tax stamp too flashy or unsightly. Some also complained about the heavy investments made to acquire labeling, which will be revised upwards following the MRA What will change after consultations with stakeholders for revenue stamps.

By September, according to our information, all housing of alcoholic beverages for local consumption should be provided with a tax stamp for the authorities to determine the product's origin and authenticity. This stamp and allow the MRA - as is the case for cigarette boxes that feature since 2007 - have a tracking tool for all alcoholic drinks and locally produced or imported for the local market, and s ensure that there is no infringement.

printing these tax stamps has been entrusted to a foreign company that was awarded the contract after bidding. However, according to our information, the producers and importers of alcoholic beverages have expressed reservations with the MRA mainly concerning the format of these new stamps. They find it too light and too wide, ruining the packaging of their products.

The MRA, which confirms having read these representations, indicates that at this stage, consultations with stakeholders continue and will continue until end of July to ensure that, in early September, the authorities have a stamp corresponding to all expectations. MRA wants the tax stamp will be an effective tool for tracking, as shown on the tax stamp our boxes of cigarettes, which won the third prize in the world in terms of Best Tax Stamp Program.

However, many importers and local producers complain the new late consultations MRA according to their performances. This, due to the fact that a deadline - July 1 - was imposed on Mauritian companies for affixing the stamp duty on homes they sell alcoholic beverages. Therefore, these companies have invested in labeling, depending on the initial recommendations of the MRA, in consultation with the French company contracted to print tax stamps. However, to date, continuing consultations and final format to be specified shortly businesses in recent lamented the additional cost and they will have to comply with the investment law. Reportedly, this issue should be raised at a meeting that companies wish to have with the MRA.