New rules for regulating trade in alcohol, tobacco and fuel: Verkhovna Rada intends to consider the bill

The Verkhovna Rada is planning to consider in the first reading the draft law No. 10346 on state regulation of production and circulation of excisable goods at one of its upcoming meetings, UNN reports, citing the agenda of the Verkhovna Rada.

Details

As reported in the relevant committee, the draft law is aimed at improving the legislative framework for regulating the production, importation into the customs territory of Ukraine, exportation outside the customs territory of Ukraine, wholesale and retail trade in ethyl alcohol, alcohol distillates, bioethanol, alcoholic beverages, tobacco products, tobacco raw materials, liquids used in electronic cigarettes, and fuel.

What the draft law provides for:

• the procedure for obtaining licenses is being simplified and a transition to an electronic form instead of a paper license is proposed;
• perpetual licenses are introduced for all types of business activities subject to licensing;
• an automatic procedure for obtaining licenses for retail trade in alcoholic beverages, tobacco products, liquids used in electronic cigarettes, as well as for the right to store fuel that is not sold to other persons and is used exclusively for own consumption and/or industrial processing is introduced within one business day after the date of receipt of an application for a license to conduct the relevant type of business activity;
• the structure and procedure for administering state registers in the field of state regulation of the production and circulation of ethyl alcohol, alcohol distillates, bioethanol, alcoholic beverages, tobacco products, tobacco raw materials, liquids used in electronic cigarettes, and fuel are being improved;
• licensing of tobacco cultivation and fermentation of tobacco raw materials is introduced to prevent illegal production of tobacco products; 6) the cost of licenses for the right to conduct the relevant type of economic activity and the amount of fines for violation of the requirements of this Law are revised with reference to the minimum wage determined by law as of January 1 of the reporting (tax) year.

Remarks

In February, the European Business Association (EBA) pointed outthat businesses have voiced concerns about certain provisions of the draft law, in particular the grounds for license revocation. According to the EBA, "companies have concerns that the introduction of such grounds as the establishment by the controlling authorities of the fact that the licensee is not at the location, non-admission to the inspection, sale of alcohol in the absence of an excise stamp on 1 bottle / with a torn excise stamp on 1 bottle, can potentially be used to put pressure on business.