Important Update: Alberta’s Wine Tax Increase Effective April 1, 2025

Starting April 1, 2025, the Government of Alberta will introduce a new tiered markup system for wine, applying percentage-based fees based on a wine’s value. As a result, both retailers and consumers will face higher wine prices due to the revised provincial markup structure.

New Tiered Markup System

Under the new system, wines exceeding a "reference invoice price" of $15 per litre (around $11.25 per 750 ml bottle) will be subject to additional percentage-based fees, as follows:

  • 5% Markup: Applied to the portion of the wine’s wholesale value between $15 and $20 per litre.
  • 10% Markup: Applied to the portion between $20 and $25 per litre.
  • 15% Markup: Applied to any value exceeding $25 per litre.

Impact on Consumer Prices

These additional fees will increase retail prices, particularly for higher-value wines. For example:

  • A wine with a supplier cost of $11.25 per 750 ml bottle will not be affected, maintaining an estimated retail price of $19.78.
  • A wine with a supplier cost of $30 per 750 ml bottle will see an additional markup of $2.26, raising the estimated retail price to $48.77 (+$3.12).
  • A wine with a supplier cost of $75 per 750 ml bottle will face an additional markup of $9.01, increasing the estimated retail price to $120.18 (+$12.43).

Wines priced above approximately $30 will see the most significant price increases under this system. The new markup, reaching up to 15% for premium wines, will affect pricing at liquor stores, restaurants, and other licensed establishments—leading to noticeably higher costs for consumers at checkout.

Estimated Price Increases

  • Wines retailing for less than $25.00 will not be affected unless producers adjust their wholesale prices.
  • Wines retailing between $25.00–$30.00 may increase by $1.00–$2.00 per bottle.
  • Wines retailing between $30.00–$40.00 may increase by $3.00–$4.00 per bottle.
  • Wines retailing between $50.00–$100.00 may increase by $5.00–$10.00 per bottle.
  • Wines retailing over $100 may increase by $10.00–$15.00 per bottle.

Effective Date

This markup takes effect on April 1, 2025.

For more details, refer to the official announcement by the Alberta Gaming, Liquor and Cannabis Commission (AGLC).