Violation of the rules of trade in alcoholic beverages

The sale of alcoholic beverages in Ukraine is one of the types of business activities that require licensing. If you are interested in consultation and legal support for the procedure for obtaining all the necessary permits for the sale of alcoholic beverages, the lawyers of the Prikhodko & Partners law office are ready to help with this. Commercial law with all related issues that arise in the work of an entrepreneur falls within our specialization. Therefore, we know how to provide quality help and ensure that you can work legally without exposing yourself to potential fines. And if a similar situation has already happened, then we will help you get out of it as quickly as possible and with minimal losses, and also prevent similar cases in the future by putting all your permitting documentation in order.

In the meantime, we suggest that you familiarize yourself with this topic in more detail – in particular, in the context of its legal regulation.

What is required to obtain a license?

When it comes to trade in alcoholic beverages, this includes both wholesale and retail trade. And the legal norms governing this issue apply not only to the sale of alcoholic beverages on the domestic market, but also to import and export.

It is important to understand that the sale of alcohol is allowed only in those premises that have at least 20 square meters in area. There are also a number of other licensing requirements, which we guide our clients in detail during consultations. About the contents of the license you should know that:

• in addition to the classic groups of alcoholic beverages, it applies to the sale of cider and perry without added alcohol;
• trade in table wines does not require licensing.

The license is issued for a period of one year, and to renew it, you must contact the State Tax Service with a corresponding application. The application is accompanied by the original license and a copy of the payment order or receipt with a note indicating the payment made.

How is compliance with the rules of the sale of alcoholic beverages checked?

The actual verification mechanism is described in Article 80 of the Tax Code. So, the key points you need to know about such a check are the following:

• it is carried out without warning the taxpayer;
• the basis is the decision of the head or authorized person of the regulatory body (it must be formalized in a certain way).

This check is carried out when:

• in the case of inspections of other taxpayers, it is revealed that this taxpayer may also violate the law;
• information has been received from state authorities or local government that the taxpayer may violate the law;
• such information was received in writing from the consumer;
• the taxpayer did not provide the reporting required by law within the prescribed period.

Clause 20. 1. 9. Tax Code states that authorized representatives of the regulatory body conducting an audit may require the taxpayer to take an inventory of fixed assets, inventory items, funds, remove the remainder of inventory items and cash.

What are the most common violations when selling alcoholic beverages?

Among such violations are often recorded:

• sale of alcoholic beverages during limited hours;
• sale of alcohol without excise tax stamps according to the established pattern;
• sale of alcohol at prices below the minimum wholesale and retail prices.

These are common offenses in the area of non-compliance with the rules of trade in alcoholic beverages.

What should you know about the verification procedure?

Those conducting the actual audit must show the taxpayer:

• direction for its implementation;
• copies of the inspection order;
• their official IDs confirming their authority.

Based on the results of the audit, tax authorities draw up a report or certificate. If the taxpayer does not agree with the conclusions of the audit, he has 10 days to submit his objections to the regulatory authority.

How can we help?

When you are going to engage in business activities related to the production and/or sale of alcoholic beverages, it is better to immediately order a consultation and support in obtaining all the necessary permits, using the help of qualified lawyers.

But even if you encounter problems, the lawyers of our law office will help you solve them. In particular, if you disagree with the conclusions of the audit, do not waste time, but immediately contact specialists, because the time frame for sending objections to the State Tax Service is very limited.