The EU’s minimum tax on vapes will be increased by 50% according to a new draft of the Tobacco Taxation Directive dated 18th February and seen by Clearing the Air.
In a previous proposal, the minimum rate for vapes was set at €0.20 per millilitre of eliquid (around €0.40 per pod or €2 per 10ml bottle). However, the Cypriot Presidency of the EU Council has proposed an increase to €0.30 (or around €3 per bottle).
“Many Member States also commented that the proposed rate of €0,20 euro per millilitre was low” the proposal states. “The Presidency recognizes that the previous proposed rate was equal to the rate already applicable in the majority of the Member States, and hence may not be ambitious enough for the EU Directive going forward, especially taking into consideration the rapid popularity that these products gain”.
The new rate “will impose a rate increase for the majority of the Member States”, the document concludes.
Read the full text here
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