Excise taxes on tobacco and alcohol will go up on 1 August after the Romanian government approved a series of fiscal measures, reports SeeNews.

According to a post on the finance ministry’s website, the excise duty on both tobacco and alcohol has remained the same since 2015. Now, Romania is following an EU directive which says that the overall excise duty on cigarettes must constitute at least 60 per cent of the weighted average retail selling price of cigarettes released for consumption, reports SeeNews.
Other measures include VAT on non-alcoholic drinks with added sugar increasing from 9 to 19 per cent from and dividend tax going up from 5 to 8 per cent both from 2023, as well as micro-enterprises with a yearly turnover of more than EUR 500,000 having to pay 16 per cent tax on profit compared to the current rate of 1 to 3 per cent.
The new measures are expected to boost budget revenues by RON 1.195 billion (USD 242 million) this year, RON 10.57 billion (USD 2.16 billion) next year and RON 41 billion (USD 8.36 billion) in 2024, 2025 and 2026, according to a document footnote.