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Excise taxes go up

01 Jul 2010. Today excise tax rates for beer and tobacco products were raised, reports Ukrinform, the national news agency of Ukraine.

According to a law adopted by parliament on 20 May the ad valorem excise duty rate increases from 20 per cent to 25 per cent for filter cigarettes, while it is retained at 20 per cent for non-filter cigarettes. For for cigars, snuff, smoking, chewing tobacco it is reduced from 20 per cent to 0 per cent.

The law also increases a specific excise duty on tobacco products:

filter cigarettes from UAH 69 (EUR 6.80) per thousand pieces to UAH 90 per thousand pieces;
for cigars from UAH 69 per thousand pieces to UAH 140 per thousand pieces;
for industrial tobacco from UAH 28.75 per kg to UAH 50 per kg;
for smoking tobacco from UAH 40.25 per kg to UAH 70 per kg;
for chewing and snuff tobacco from UAH 11.5 per kg to UAH 20 per kg.

The law was introduced by the cabinet to increase budget revenues by UAH 9 billion a year. (pi)