Sweden to face EU Court over alcohol tax
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STOCKHOLM, July 18 (Xinhua) -- Sweden should not be allowed to have higher tax on wine than on beer, local media reported on Wednesday, quoting a top EU judge.
Paolo Mengozzi, the Advocate General of the European Court of Justice, said in Luxembourg on Wednesday that the difference in taxes breaks EU law.
The European Commission is taking Sweden to court, arguing that the higher tax on wine is intended to benefit Sweden's domestic beer producers at the cost of foreign wine producers, according to Swedish news agency TT.
The Swedish government claims that the tax difference is negligible and is not a decisive factor when consumers choose between beer and wine.
But Mengozzi says that regardless of the criteria used in comparing prices, wine is still taxed considerably higher than beer.
This, he argues, is sufficient evidence to prove the tax system treats wine consumers unfairly, and that other EU nations who produce wine are losing out.
The European Court usually follows the Advocate General's recommendations, although it can go against them.
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