Lodging and paying – excisable alcohol

Who needs to lodge and pay

You need to lodge an excise return and you may need to pay excise duty if you deliver excisable products into the Australian domestic market.

What triggers an obligation to lodge and pay

Activities that trigger an obligation to lodge an excise return and pay excise duty (if required) occur when excisable goods are:

• moved out of excise-licensed premises and delivered into the Australian domestic market
• consumed at the excise-licensed premises
• given away or donated
• used for tastings with retail customers
• used for samples (except for approved samples).

If you have a periodic settlement permission (PSP), your obligations to lodge an excise return and pay excise duty (if required) will differ.

How to lodge

You should lodge your excise return using ATO online services.

Lodging your excise return online means you can:

• quickly and easily lodge online without downloading a PDF form
• only see questions that are relevant to your return
• easily submit a nil return when you have no product details to report
• have your excise duty amounts automatically calculated
• use pre-filled tariff items, after your first online lodgment
• track the amount of Remission applied if you are eligible for the Remission scheme for alcohol manufacturers (Remission scheme).
• view your lodged returns, transaction history and future lodgment due dates.

How to access the online form

To access the form using online services:

• select Lodgments
• select Excise duty return
• select the type of return then Prepare
• complete all mandatory fields and review the information
• tick the Declaration box and select Submit.

For help when completing the online form, you can:

• hover over or click the (?) icon for quick tips or smart help
• click on the (?) Help button on the right side of the screen for all Help topics.

If you need assistance to lodge online contact us.

Paying excise duty on excisable alcohol

If you have an obligation to lodge an excise return you need to:

• apply for Excise registration before lodging an excise return
• have a payment reference number (PRN).

You need to prepay your excise duty or apply to pay on a periodic settlement basis.

Excise duty is due at the same time as your excise return for all settlement periods (that is, weekly, monthly or quarterly).

Excise duty rates change regularly, so remember to apply the correct rate to each product that is delivered before and from the date you lodge your return.

For information about payment options, see How to pay.

Approved samples

You may be able to deliver small samples of excisable alcohol products without payment of excise duty if you apply to us for approval.

A small sample would normally consist of less than a saleable amount or an amount that is suitable for the purpose for which the sample is required, like testing and evaluation. For example, an excise-licensed spirit distiller providing a small sample of brandy to a winery so they can test if the brandy is suitable (age, colour and other characteristics) to use in fortifying wine.

Pre-delivery samples (that is, samples that arrive separately to the bulk goods) of product provided to customers to secure an order for that product are not considered to be 'samples' that can be approved for delivery without the payment of duty.

You don't include approved samples in your excise return. However, you must keep records of any approved samples you deliver.

For more information and how to apply for approval, see Excise guidelines for the alcohol industry section 7.3.6 – When are excisable alcohol products exempt from excise duty?

Prepayment of excise duty

You must lodge your excise return and prepay excise duty before you deliver excisable goods into the Australian domestic market, unless you have a PSP.

Once we've received payment and approved your return, we'll issue you with a written delivery authority. This allows you to physically move the goods from the excise-licensed premises and deliver them into the Australian domestic market.

To access your delivery authority using online services:

Online services for business

• select Communication
• select Secure mail
• navigate to the relevant mailbox
• click on the Delivery Authority/Excise return attachment and download the PDF document.

To receive an email notification that your delivery authority has been issued, add an email address in the Notifications field at the bottom of the secure mail inbox.

Email notifications will always be sent from our trusted email address, Taxofficeportalmessagenotify@ato.gov.au. 

You can also access your delivery authority from the Excise duty return landing page:

• select Lodgments
• select Excise duty return
• select Pre-payment
• click on the Delivery authority link for the selected period.

Online services for agents

• select Communication
• select Communication History
• select Search
• click on the Delivery authority link for the selected period.

Periodic settlement permission

A PSP allows you to:

• deliver excisable goods into the Australian domestic market over a specified period (settlement period)
• defer when you lodge your excise return and where applicable, pay excise duty, until a specified date.

For each settlement period (usually weekly, monthly or quarterly), you must:

• lodge an excise return detailing the deliveries you made during the settlement period
• select if the Remission scheme applies
• if required, pay excise duty on the excisable goods.

You must lodge a return for each settlement period, even if you haven't delivered any goods in that period.

When you can get a PSP

A PSP must be applied for using the approved application form. This may be done as part of the excise licensing process. As a PSP enables an entity to effectively defer lodgment and payment to a later date, we must consider several factors before deciding whether a PSP should be granted and whether a weekly, monthly or quarterly settlement period should be allowed.

Among other things, these considerations include your overall compliance with tax obligations, for example, lodgment and payment history.

Decisions to grant or refuse to grant a PSP, allow weekly, monthly or quarterly settlement periods, condition a permission, or take a financial security to ensure compliance with the permission are determined based on what we consider to be the risk to revenue of allowing an entity to defer the lodgement and payment of required excise duty.

Decisions in relation to PSPs are reviewable decisions and may be objected against.

If your excise-licensed premises are covered by another entity's PSP, the other entity must lodge the excise return and pay the excise duty for goods they deliver into the Australian domestic market from your excise-licensed premises.

For more information, see application for an excise periodic settlement permission.

Settlement period

For all settlement periods, payment of excise duty (if required) is due at the same time as your excise return.

Eligible for small business entity concessions

If you're eligible for small business entity concessions, you may be able to report and pay your excise obligations monthly or quarterly.

Under a monthly arrangement, you need to report and pay excise duty (if required) by the 21st day of the month following delivery of the goods into the Australian domestic market.

For example, if you deliver goods into the Australian domestic market during September, you must report them in your September excise return. By 21 October, you must:

• lodge your September excise return
• pay the excise duty (if required).

From 1 July 2023, businesses with an aggregated turnover of less than $50 million may also be eligible to report and pay their excise obligations quarterly.

Under a quarterly arrangement, you need to report and pay excise duty:

• for a quarter ending on 31 March, 30 June or 30 September – by the 28th day after the end of the quarter
• for a quarter ending on 31 December – by the 28th day of the February after the end of the quarter.

Not eligible for small business entity concessions

If you're not eligible for small business entity concessions, you can apply for a specific 7-day settlement period. On the first business day after the end of the settlement period, you must:

• lodge your excise return
• pay the excise duty.

For more information, see CGT small business entity eligibility.

How to lodge an excise return and pay excise duty on alcohol and alcohol products.