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International Internet Magazine. Baltic States news & analytics Wednesday, 24.04.2024, 21:07

Tobacco, alcohol excise duty to increase in Lithuania from March

Danuta Pavilenene, BC, Vilnius, 26.11.2014.Print version
The Seimas in Lithuania has adopted amendments to the Law on Excise Duty (draft No. XIIP-2382(2) under urgent procedure. As a result, starting with 1 March 2015, higher excise duty rates will apply to beer, wine and other fermented beverages, intermediate products, ethyl alcohol, cigarettes, cigars and cigarillos, reports BC Seimas’ press service.

A total of 82 MPs voted in favour of the amendments, with one vote against, and 11 abstentions.

 

The amendments enforce higher rates per hectolitre of products. Specifically, this will mean an increase from LTL 9.35 to LTL 10.74 (EUR 3.11) per 1% vol of actual alcoholic strength by volume for beer; from LTL 85 to LTL 98.99 (EUR 28.67) for wine and other fermented beverages with actual alcoholic strength by volume not exceeding 8.5 % vol; from LTL 225 to LTL 249.02 (EUR 72.12) for wine and other fermented beverages with actual alcoholic strength by volume exceeding 8.5% vol; from LTL 281 to LTL 308.99 (EUR 89.49) for intermediate products with actual alcoholic strength by volume not exceeding 15% vol; from LTL 400 to LTL 435.99 (EUR 126.27) for intermediate products with actual alcoholic strength by volume exceeding 15 % vol; and from LTL 4,460 to LTL 4,560 (EUR 1,320.67) for ethyl alcohol.

 

Under the amendments to the Law on Excise Duty, specific excise duty on cigarettes will increase from LTL 157 to LTL 166.01 (EUR 48.08) per 1,000 cigarettes. Concurrently, the minimum combined excise rate per 1,000 cigarettes will need to be no less than EUR 77.91 (LTL 269). The current rate stands at LTL 256. The rate for cigars and cigarillos will increase from LTL 93 to LTL 96.99 (EUR 28.09) per kilo.

 

As stated in the explanatory note, Lithuania is due to gradually increase excise duties on cigarettes until 31 December 2017 in order to reach the minimum rates under the EU acquis. Gradual increase of the excise duty is also planned for 2016 and 2017, respectively.

 






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