JAPAN - TAXES ON
ALCOHOLIC BEVERAGES
Request for
the Establishment of a Panel by Canada
The following communication, dated
14 September 1995, from the Permanent Mission of Canada to the Chairman of
the Dispute Settlement Body is circulated at the request of that delegation.
_______________
On 7 July 1995 the Government of Canada
requested consultations with the Government of Japan concerning tax rates
levied pursuant to the Japanese Liquor Tax Law on certain domestic and imported
alcoholic beverages. In accordance with
Article 4 of the Understanding on Rules and Procedures Governing the
Settlement of Disputes (DSU), that request was circulated to members of the
World Trade Organization on 17 July 1995 (WT/DS10/1).
The Government of Canada requested
consultations with a view to gaining the full benefit of the conditions of
competition that the Japanese Liquor Tax Law nullifies and impairs by imposing
higher rates of taxation on imported alcoholic beverages including whiskies,
brandies, other distilled alcoholic beverages and liqueurs than on Japanese
shochu. The products concerned fall
within HS 2208.30 ("whiskies"), HS 2208.40 (""rum
and tafia"), HS 2208.90 ("other" including fruit brandies,
vodka, ouzo, korn, cream liqueurs and "classic" liqueurs).