The Lithuanian government backed on Thursday the government's proposal to raise excise tax rates for cigarettes and other tobacco products, including liquids used in e-cigarettes, and to subject nicotine free e-liquids to an excise duty starting next March.
© Shutterstock nuotr.

The Seimas approved the government's three-year plan for increasing the excise duties by 6-14 percent in a vote of 100 to two with 18 abstentions.

The plan calls for raising the tax rate for cigarettes to 62.25 euros per 1,000 cigarettes and setting the minimum combined excise duty per 1,000 cigarettes at 102 euros. The rates will increase to 65.7 and 108.5 euros in 2020 and will go further up to 69.4 and 115.5 euros in 2021, respectively.

The excise tax rate will rise to 42 euros per kilogram of cigars and cigarillos and 68.6 euros per kilogram of smoking tobacco. The rates will go up to 48 and 78.5 euros in 2020 and to 55 and 90 euros in 2021, respectively.

E-liquids will be taxed at a rate of 0.1 euros per milliliter.

The excise rate hikes are expected to generate an estimated 11 million euros in additional budget revenue next year and another 10 million euros in 2020 and 2010 each.

BNS
It is prohibited to copy and republish the text of this publication without a written permission from UAB „BNS“.

Experts divided on how many people live in poverty

Lithuania's poverty indicators remain among the highest in the European Union, with one in five...

American tanks arrive in Lithuania (1)

The heavy equipment of the US battalion to be stationed in Lithuania for six months has arrived in the...

Record temperatures reported on weekend

Record temperatures were reported on Sunday in many areas in Lithuania. Residents of Kybartai,...

Last partisan Kraujelis-Siaubunas to be buried at Antakalnis Cemetery

The remains of Antanas Kraujelis-Siaubunas , Lithuania's last partisan who died with a gun in his...

Almost a third of Lithuanians at risk of poverty

Some 28.3 percent of the Lithuanian population were at risk of povert y or social exclusion in...