Ukrainians smoke less and pay more taxes

01 February 2018, 21:55 | Business
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Ukrainians reduce the consumption of tobacco products. In 2017, they smoked 67 billion cigarettes, which is 14% less than a year earlier. Such data are provided by the Ukrainian Tobacco Control Center of the NGO "Life". The key reason for the falling trend experts believe a significant rise in price of cigarettes due to the increase in excise rates. So, from January 1, 2017, a specific excise on tobacco products increased by 40%. It is noteworthy that while the decrease in the number of Kurts did not lead to a reduction in budget revenues, which many analysts predicted. On the contrary, in treasury in the past year from tobacco excises received 39.9 billion UAH. - 20% more than in 2016.

Recall, December 7, 2017 Verkhovna Rada approved a multi-year schedule for further increases in excise taxes on tobacco products. On average, the tax burden will grow by 20% annually, until it reaches the minimum European rates of € 90 per 1,000 units. Thus, with the current rate of hryvnia a pack of cigarettes in Ukraine will rise in price to about 90-100 UAH. In 2018, the minimum excise on a pack of 20 cigarettes rose from 12 hryvnia to 15.5 hryvnia.

Original article: Ukrainians become less smoking and pay more taxes.




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