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Excise Duty in Distance Selling of Alcohol: Who is liable to pay the excise duty, supplier or the buyer?

On 17 June 2025, the Helsinki Administrative Court ruled that a German company selling alcohol online to Finnish consumers was liable for Finnish excise duty – even though the buyer arranged and paid for the transport.

The supplier was considered to be at least indirectly involved in arranging the transport, because the supplier recommended transport companies and listed shipping options and prices on its website. The Court considered this sufficient involvement in transport arrangements to make the sale qualify as distance selling where the seller arranges the transport.

This means the supplier is responsible for excise duty in Finland, based on:
– Article 36(1) of the EU Excise Duty Directive (2008/118/EC), and
– Section 79 of the Finnish Excise Duty Act.

As the VAT usually follows the excise duty, the liability to pay VAT goes hand in hand with the excise duty.

The decision is important as it gives clarification to many similar situations all over Europe, where the wine or other alcohol beverages under excise duty are ordered online from another EU country. It clarifies that even indirect participation in transport may trigger excise duty obligations in the buyer’s country. EU businesses selling alcohol into Finland or other Member States in the EU must carefully assess their business, whether their supplies create tax liability in other countries.

The decision is based on the CJEU judgment in Case C‑596/24, Veronsaajien oikeudenvalvontayksikkö, which confirmed that even indirect involvement in arranging transport can lead to excise duty liability in the destination country.

Note: The decision is not yet final and may be appealed to the Supreme Administrative Court of Finland.

The case you can find here: https://tuomioistuimet.fi/hallintooikeudet/helsinginhallinto-oikeus/fi/index/hallintooikeusratkaisut/helsinginhao17.6.202540082025.html

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