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Excessive alcohol consumption is a major health and social hazard of a modern society. Alcohol excise duties are important tool in hands of policymakers regarding possibilities to restrain and to control alcohol consumption. However, European Union directive 92/84/EEC undermines this potential with prescription of zero tax rates for wine which opens many doors of tax avoidance, substitution and smuggling opportunities. Regarding possible solutions, it is necessary to abolish zero tax rates for wine in European Union and to treat all alcoholic beverages equally in terms of taxation.

CHALLENGES OF ALCOHOL TAXATION POLICIES AND ALCOHOL CONSUMPTION MEASUREMENT