Increase in excise taxes on cigarettes approved by parliamentary committee
Kyiv • UNN
The decision to gradually increase excise taxes on cigarettes to the minimum level in the EU until 2028 was passed by the relevant parliamentary committee, the Verkhovna Rada is recommended to adopt the relevant bill as a basis.
The decision to gradually raise excise taxes on cigarettes to the minimum level in the EU until 2028 was passed by the relevant parliamentary committee, the Verkhovna Rada is recommended to adopt the relevant bill as a basis, Government representative in Parliament Taras Melnychuk said on Friday, UNN writes.
Details
"The committee on finance, tax and customs policy recommended that the Verkhovna Rada adopt as a basis the government draft law "on amendments to the tax code of Ukraine regarding the revision of excise tax rates on tobacco products" (Reg. No. 11090 of 18.03.2024)," Malnichuk wrote on Telegram.
The draft law proposes:
- establish new excise tax rates on tobacco products starting from 01.01.2028, taking into account the minimum level determined by the EU Council directive, while reducing the excise tax burden on tobacco-containing products for electric heating. At the same time, provide for a gradual, starting from 01.07.2024 to 31.12.2027, annual increase in excise tax rates to bring them to the specified minimum level.;
- determine the monetary unit of measurement of the excise tax rate on tobacco products in euros;
- provide for the specifics of the procedure for calculating excise tax on tobacco products at rates expressed in foreign currency;
- establish easing for the period of martial law restrictions on measures of accumulation of tobacco products in warehouses before raising excise tax rates (anti-torstoling) by increasing the established size of the average monthly volume of sales of tobacco products in the customs territory of Ukraine from 115 to 120 percent.
