Excise duty on cigarettes, alcohol to be increased in LithuaniaOctober 03, 2014
In 2015, due to commitments to the European Union, Lithuania will increase excise duties on cigarettes, alcohol and natural gas used for heating, informs LETA/ELTA.
Based on the EU requirements, since 2018 excise duty on cigarettes will have to be at least EUR 90 per 1,000 cigarettes, thus, the government is going to raise the excise duty gradually for four years in a row.
In the 2015 state budget it is proposed to increase excise duty of beer, wine of fresh grapes and other fermented drinks, intermediate products and ethyl alcohol. In order to avoid steep tariff increase, this excise is also going to be increased gradually for three years.
The proposed excise rates for a hectolitre of finished product are as follows: for beer – EUR 3.11; for wine and other fermented drinks having an actual alcoholic strength by volume lower than 8.5% – EUR 28.38, and over 8.5% – EUR 67.19; for intermediate products of an actual alcoholic strength by volume lower than 15% – EUR 83.7, and over 15% – EUR 120.48; for ethyl alcohol – EUR 1,317.48.
Due to the increase of excise rate, the price of 0.5 litres of the aforementioned products could rise from EUR 0.015 (beer) to EUR 0.059 (ethyl alcohol).
Source: Baltic Course