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When to claim a remission

Last updated 11 September 2023

You can make a claim if you're entitled to a remission and, if applicable, seek permission to destroy excisable goods.

Remission of excise duty is granted when we are satisfied those goods, on which excise duty has not been paid, will not be delivered for 'home consumption' (into the Australian domestic market). This may occur because the goods:

  • deteriorated, were damaged, pillaged, lost, destroyed or became unfit for human consumption
  • are not worth the amount of excise duty payable upon them.

Destroying goods that are subject to our control without permission is an offence under the Excise Act 1901.

Once the remission has been processed and permission to destroy granted, the goods can be destroyed. Once destroyed, the duty on the excisable goods will be waived. You need to keep detailed records of the goods you destroy.

Circumstances when you do not need to apply for a remission include:

  • the goods have been completely lost or destroyed and an automatic remission applies. You need to update your records and retain supporting evidence
  • you manufacture beer that is damaged or not fit for human consumption, and  
    • you destroy less than (or equal to) 125 litres of alcohol (LALs) in a quarterly period
    • the goods are subject to our control
    • you have not paid excise duty on them as you would be entitled to an automatic remission.
  • you wish to apply the Remission scheme for alcohol manufacturers. If eligible, the remission is applied to an original or amended excise return
  • you used or supplied liquefied petroleum gas (LPG) or liquefied natural gas (LNG) for non-transport use only. From 1 July 2013, an automatic remission of excise duty applies to LPG or LNG
  • you hold a periodic settlement permission, are eligible for an automatic remission of excise duty, and sell excisable goods for the personal use of diplomats or consular posts and any member of their family or staff.