MPs tighten regulation of alcohol, tobacco and alcohol production: what has changed
19 June 2024 11:24
The Verkhovna Rada has adopted in its entirety the draft law No. 10346 on state regulation of production and circulation of excisable alcohol, tobacco and fuel. This was announced by Danylo Hetmantsev, chairman of the Verkhovna Rada Committee on Finance, Taxation and Customs Policy, "Komersant Ukrainian" reports
The law on tightening the rules for regulating the tobacco and alcohol markets was voted for by 255 MPs.
According to him, the bill proposes:
1) Control posts and a round-the-clock video surveillance system will be installed at enterprises engaged in the production of tobacco products;
2) Excise warehouses where ethyl alcohol and bioethanol are produced will be equipped with a round-the-clock video surveillance system and a control system;
3) The possibility of blocking Internet sites that illegally sell excisable goods is introduced at the initiative of the State Tax Service;
4) Introducing perpetual licences for all types of business activities subject to licensing;
5) An automatic procedure for obtaining licences for certain types of retail trade in excisable goods is introduced within one business day after the day of receipt of the application for a licence.
It is worth noting that the Cabinet of Ministers of Ukraine plans to increase the excise tax on tobacco products from 1 July 2024.
Starting from 1 July, the rates are expected to increase slightly, but the rates will be converted from hryvnia to euro.
This is supposedly a gradual transition to the EU rules on excise taxation of tobacco products. In the EU, the excise tax rate on tobacco is at least EUR 90 per 1000 cigarettes. In Ukraine, this figure is 60 euros.
Kommersant Ukrayinsky 
previously reported that the Ministry of Finance is preparing a number of bills that provide for an increase in excise taxes and military duty.
