If you make wine, import wine into Australia or sell it by wholesale, you'll generally have to account for wine equalisation tax (WET).
WET is a tax of 29% of the wholesale value of wine. It is only payable if you are registered or required to be registered for GST.
Report and pay GST instalments
If you report and pay GST using Option 3: Pay GST instalment amount and report annually, don't complete the WET section of your BAS. Your WET will be included in your GST instalment amount.
However, you'll still need to report WET payable (1C) and WET refundable (1D) when lodging your annual GST return. This is due at the same time as your income tax return.
Report and pay GST annually
If you report and pay GST annually you are not required to report WET on a monthly or quarterly BAS, however you must report WET on your annual GST return.
How to complete your activity statement labels
Wine manufacturers, wholesalers and importers need to complete the WET section of the business activity statement (BAS).
If you have no WET to report, enter ‘0’ at 1C and 1D.
To report on WET, you need to complete the following labels:
1C – WET payable
Enter at 1C all WET that you're liable to pay in the current reporting period.
This includes all your assessable dealings, the most common being wholesale sales and retail sales.
1D – WET refundable
Include at 1D the amount of WET refundable.
Calculate the WET you are entitled to as a credit in the current reporting period. You can claim a WET credit if you’ve overpaid WET, are entitled to a producer rebate for certain exports or imports, or where you've written off a bad debt.
If you have nothing to report, enter '0' at 1D.