EXC 2016/10

Australian Government

This legislative instrument replaces and repeals F2006L02799 - registered on 24 August 2006

Excise Act 1901

I Deborah Jenkins, Acting Deputy Commissioner of Taxation, make this determination under the following provision: subsection 77FG(1) of the Excise Act 1901 (Excise Act).

1. Name of instrument

This determination may be cited as the Excise (Denatured spirits) Determination 2016 (No. 3).

2. Legislative Instrument

This determination is a legislative instrument for the purposes of the Legislation Act 2003 (Legislation Act).

3. Commencement

This determination commences on the day after it is registered. On commencement it replaces and repeals Excise (Denatured spirits) Determination 2006 (No. 2) (which expires on 1 October 2016).

4. Application

This determination applies to spirit delivered for home consumption on or after the date of commencement.

It applies to applications received on or after the date of commencement.

5. Revoking of previous instrument

Excise (Denatured spirits) Determination 2006 (No. 2) is revoked on commencement of this determination.

The new instrument is a restatement of the previous determination which is scheduled to be repealed on 1 October 2016 under the sunsetting provisions as prescribed in Part 4 of Chapter 3 of the Legislation Act.

6. Determination

Section 77FG of the Excise Act allows the CEO to determine a formula for denaturing spirit for the purposes of subitem 3.8 of the Excise Tariff.

Spirit denatured to the formula may be delivered into home consumption under subitem 3.8 at a free rate of duty and pass out of the CEO's control.

7. The Formula

The formula for denaturing spirit is:

Spirit plus at least one denaturant listed in the Schedule at or above the minimum concentration specified.

The minimum concentration specified in the Schedule is the minimum concentration for adding to 100% pure ethanol. If the spirit is less than 100% ethanol, the minimum concentration is to be adjusted accordingly.

Example: spirit consisting of 80% ethanol may be denatured according to the formula by the addition of 0.80% v/v n-propanol.

This determination allows licensed entities to supply ethyl alcohol that is denatured to this formula at a free rate of duty.

8. Definitions

In this determination:

CAS registry number refers to the unique number allocated to the chemical substance in the registry of the Chemical Abstracts Service, a division of the American Chemical Society.

CEO means the Commissioner of Taxation (see subsection 4(1) of the Excise Act).

Excise tariff means the Schedule to the Excise Tariff Act 1921.

ppm means parts per million.

v/v means volume to volume.

w/w means weight to weight.


Item Denaturant CAS registry number Minimum concentration for 100% ethanol
1 acetaldehyde 75-07-0 1.0% v/v
2 n-propanol 71-23-8 1.0% v/v
3 n-propyl acetate 109-60-4 1.0% v/v
4 acetone 67-64-1 2.0% v/v
5 denatonium benzoate 3734-33-6 5 ppm
6 ethyl acetate 141-78-6 1.0% v/v
7 propylene glycol mono-methyl ether 107-98-2 1.0% v/v
8 sodium nitrite 7632-00-0 0.25% v/v
9 methyl ethyl ketone 78-93-3 0.5% v/v
10 methoxy propyl acetate 108-65-6 0.5% v/v
11 methanol 67-56-1 5.0% v/v
12 isopropanol 67-63-0 5.0% v/v
13 tertiary butyl alcohol 75-65-0 0.25% v/v
14 methyl isobutyl ketone 108-10-1 0.25% v/v
15 n-hexane 110-54-3 1.0% v/v
16 ethyl ether 60-29-7 1.0% v/v
17 propylene glycol 57-55-6 20.0% v/v
18 sodium hydroxide 1310-73-2 0.25% w/w
19 sodium molybdate 7631-95-0 0.25% w/w
20 sodium tolytriazole 64665-57-2 0.25% w/w

Dated: 13 September 2016

Deborah Jenkins
Acting Deputy Commissioner of Taxation

Registration Number: F2016L01523

Registration Date: 28 September 2016

Related Explanatory Statements:

EXC 2016/10 - Explanatory statement