Excise tax forms up to 85% of the price of a pack of cigarettes in Russia
In 2027, the Russian authorities plan to raise excise taxes on tobacco products by 6.1-6.8%. Excise taxes form about 70-85% of the cost of a pack of cigarettes on sale, a source in the tobacco market told Kommersant.
In 2027, the Russian authorities plan to raise excise taxes on tobacco products by 6.1-6.8%. Excise taxes form about 70-85% of the cost of a pack of cigarettes on sale, a source in the tobacco market told Kommersant. Manufacturers, according to him, consider the main risk reorientation of demand for illegal products.
“Consumers are switching to cheaper products, which are imported including from the EAEU countries,” the source explained. Deputy Finance Minister Alexei Sazanov said that the volume of the illegal tobacco market in recent years has increased from 9-10% to 11-12%. The Russian budget because of this, according to him, receives less 100-120 billion rubles. At the same time, in 2015, the figure was 1%.
The authorities intend to prevent the growth of illegal tobacco trafficking through the licensing of retail products. The draft amendments to the Tax Code envisage an increase in excise duties on alcohol and tobacco products in 2027 by 6.1-6.8%.
More in the material “Kommersant” “Healthy image of money”.
