Alcohol Tax Cuts Needed Say Leaders

Swedish officials say taxes on distilled spirits need to be cut. The leaders include the Finance Minister, a minister of Parliament, and the head of the state-owned alcohol beverage retailing monopoly, Systembolaget.

Neighboring Denmark and Finland have recently cut the taxes on alcoholic beverages as much as 40%, prompting more Swedes to cross the border to buy their liquor there.

According to research by Stockholm University, Swedes brought about 79,000 gallons of liquor into the country during a two-month period, during which time Systembolaget sold about 74,000 gallons. The head of the alcohol monopoly says “our liquor sales are decreasing, and the decrease is accelerating.”

In the United States, over half the cost of a bottle of distilled spirits consists of various taxes.


  • Mattias, Karen. Private alcohol imports may force Sweden to lower taxes on spirits. Associated Press Worldstream, 5-7-04; Swedish drinks leaders call for tax cut., 5-20-04.

Filed Under: Economics