Excise tax grows on tobacco, malt beer and alcohol

Growing excise tax on tobacco, malt beer and alcohol drinks will contribute to increased budget revenue totaling at least 100 million GEL from next year.

From January 1, 2015, excise tax for a packet of filtered cigarettes containing at least twenty cartons will increase by 0.15 GEL and for non-filtered cigarette by 0.05 GEL, official information noted.

Currently excise duty for a packet of filtered cigarettes was 0.75 GEL and 0.20 GEL for non-filtered cigarettes.

The cost of cigarettes will rise in the middle of next year following another tax increase. From June 2015, companies will have to pay the excise duty for cigarette as well as five percent of the retail price of a packet of cigarettes.

Meanwhile, excise duty for malt beer and alcoholic beverages will double from the start of 2015. In particular, excise tax for one litre of malt beer will increase from 0.40 GEL to 0.08 GEL.

The current excise tax on alcoholic drinks starts from 2.5 GEL.

Through these changes, the Government of Georgia expected budget revenues from excise duty from malt beer and alcoholic drinks to increase by 40 million GEL. (agenda.ge)