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Calculate and claim your rebate

Work out how much wine producer rebate you're can claim, based on the amount of WET attributable to your wine dealings.

Last updated 10 October 2017

You calculate your wine producer rebate based on the price of the wine you sell.

To calculate and claim your rebate:

  1. Work out 29% of the taxable value of your assessable dealings:
    1. For wholesale sales, this is 29% of the price the wine is sold for (before WET and GST).
    2. For retail sales and wine for own use, this is 29% of the notional wholesale selling price.
     
  2. If you manufactured 2017 and earlier vintage wine using any wine bought from other producers, reduce your claim by any earlier rebates the other producers could claim.
  3. Limit your rebate claims to the maximum amount that can be claimed each financial year:
    1. The maximum amount that can be claimed each financial year is $500,000 for the financial year ending 30 June 2018 and $350,000 from 1 July 2018.
    2. If you belong to a group of associated producers at any time during the financial year, this limit applies to the whole group.
    3. Producers are associated if, for example, one controls the other, or one has obligations to the other in relation to their financial affairs.
    4. A producer may be associated with one or more Australian or New Zealand producers.
     
  4. Claim your producer rebate at label 1D on your BAS for the relevant tax period:
    1. You account for WET using the same accounting method (cash or non-cash) that you use for GST.
    2. You attribute the WET payable to the same tax period as you do for GST purposes.
    3. The producer rebate is claimed in the same tax period as the WET is payable. However, if the purchaser has quoted for a dealing at or before the time of the sale, then the rebate is claimed in the tax period in which WET would have been payable had the purchaser not quoted.
    4. Any rebate you receive is assessable income and must be declared in your income tax return.
     
Examples of calculating the wine producer rebate

Type of dealing

Selling price

Amount of WET payable

Producer rebate claimable

Retail sale to the end consumer

$20,000 (incl. WET and GST)

$2,900 (see note 1)

$2,900

Wholesale sale to a restaurant

$30,000 (excl. WET and GST)

$8,700

$8,700

Wholesale sale of blended wine to a bottle shop. Wine used in the blend was purchased for a total of $15,000 (excl. WET and GST) and there was an earlier rebate for the purchased wine.

$25,000 (excl. WET and GST)

$7,250

$2,900

($7,250 minus earlier rebate amount of 29% of $15,000)

Wholesale sale to a distributor. Buyer quotes their ABN.

$15,000 (excl. WET and GST)

Nil

$4,350

Wholesale sale to a distributor. Buyer quotes their ABN and notifies an intention to sell the wine GST-free.

$20,000 (excl. WET and GST)

Nil

Nil

Wine used for tastings

Retail value of wine is $2,000 (incl. WET and GST)

$290 (see note 2)

$290

Note 1: 29% of $20,000 divided by 2, based on half retail price method.

Note 2: 29% of $2,000 divided by 2, based on half retail price method.

End of example

See also:

QC22758