BRATISLAVA, September 22, (WEBNOVINY) — Some excise tax rates will go up in Slovakia as of next year. Cabinet ministers approved on Wednesday draft changes to respective laws aiming at hiking excise tax on beer, tobacco products, mineral oils, coal and natural gas. The excise tax on beer should change as of next March. An increase in the excise tax on tobacco products is planned to come into force in two phases. The first increase takes effect as of February 1, 2011 while the second hike is scheduled to come on March 1, 2013. New excise tax rates on mineral oils, coal and natural gas should go up effective next year.
Within the planned hike in the excise tax on cigarettes, the specific portion of the tax increases as of February 1, 2011 from 52.44 EUR per 1,000 pieces to EUR 55.70. However, as of the beginning of March 2013 it will increase to EUR 59 per 1,000 pieces. The percentage part of the tax will be adjusted as of February 1, 2011, from 24 percent of the price of cigarettes to 23 percent of the price and the minimum tax rate will increase from EUR 81.32 per 1,000 pieces to EUR 85 per the same volume in the first step and then to EUR 90 per 1,000 pieces as of March 2013. The tax on cigars and cigarettes goes up from EUR 69.70 per 1,000 pieces to EUR 72.66 per 1000 pieces as of next February while it will go up to EUR 77.14 per 1,000 pieces as of March 1, 2013. The rate of tax on tobacco will go up from EUR 64.06 per kilogram within the first step to grow to EUR 70.90 within the second phase.
The basic rate of the excise tax on beer should go up from EUR 1.65 per hectoliter and degree Plato to EUR 2.45 while the reduced rate of the excise tax on beer should go up from EUR 1.22 to EUR 1.832 per hectoliter and degree Plato.
The Finance Ministry has also prepared an amendment to the law on excise tax on electricity, coal and natural gas. Based on the amendment, coal used by central heating companies for heat generation is to be taxed by EUR 10.62 per ton and natural gas used to generate heat for customers will be taxed by EUR 13.27 per MWh. CNG used as motor fuel will newly be taxed. The Cabinet also approved an amendment changing the excise tax on mineral oils and the so-called red diesel [used by farmers in their farm machines — editor’s note] and LPG.
Changes to respective excise tax laws should bring over EUR 132 million more to state coffers. Changes within the law on excise tax on beer should generate an additional EUR 14.9 million for the state budget while higher excise tax on tobacco products should contribute EUR 15.9 million. The amendment to the law on excise tax on electricity, coal and natural gas should increase state revenues by EUR 8.6 million. The state however expects the highest income from changes to the excise tax on mineral oil calculated at EUR 92.7 million in the respective draft revision.
SITA
