The Finance Ministry proposes to annually increase the excise tax on tobacco products by 20%.
The Ministry of Finance of Ukraine has developed the bill according to which from 2018 to 2025 is expected to raise excise tax rates on cigarettes and other tobacco products.
Cabinet of Ministers submitted the document No. 7110-1 registered on the website of the Verkhovna Rada.
The annual increase in the tax rate will be 20%. If from 1 January 2018 it is expected to equal €for 19.32 per 1,000 cigarettes by December 31, 2025 it is projected to reach €69,22.
The minimum excise tax liability of payment of excise tax on tobacco products for cigarettes is proposed to increase from €25,84 €90.
A similar increase in the tax rate, according to the plan of the Ministry of Finance will relate to the raw tobacco and waste tobacco substitutes, homogenized tobacco, tobacco extracts and essences.
These measures are aimed at tax rates on tobacco to the minimum levels applicable in the European Union, as stated in the explanation to the bill.
The bill was approved by Cabinet on 19 July.
© 2017 – 2019, paradox. All rights reserved.
