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Canada is repealing the excise tax on non-alcoholic beer

Non-alcoholic beer has been subject to federal excise taxes despite not containing virtually any alcohol at all. 

Our North American Affairs Manager, David Clement pointed out several problems with this tax and was invited to meet with the Ministry of Finance to explain the arguments against the tax. For example, non-alcoholic wine and spirits are exempt from the tax, which created a huge disparity for non-alcoholic beer. Removing tax would reduce costs for health-conscious consumers, who are looking for a healthier alternative to their favorite drink. This would also be consistent with the principles of harm reduction, a policy approach the current government has taken upon other issues. 

Fortunately, Budget 2022 removes alcohol excise taxes on beer containing no more than 0.5% alcohol by volume. This is another great victory for Canadian consumers!

This is a step in the right direction and hopefully the start of a national discussion on modernizing the alcohol excise duty structure.

For more information, listen to this Consumer Choice Radio episode

2 comments on “Canada is repealing the excise tax on non-alcoholic beer

  1. angus smith says:

    when and how will we know if the tax has been taken off?

    1. Maria C. Brower says:

      Hi Angus,
      I have the SAME QUESTION. Yesterday I bought 24 cans of a ZERO alcool beer, and the store charged me $5.00 alcohol tax!!!
      Is zero alcohol beer taxable or not!!!
      Thanks for your help.
      Maria C. Brower

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