Excise tax on cigarettes may increase next year

On the basis of the 2013 budget proposal, excise tax on cigarettes may increase further next year.

Although the draft of the budget calculates with 913.1 billion HUF revenue from the excise tax in 2013 it is 800 million HUF below this year’s target. The justification  mentions that certain products tax rate is needed to be increased at this tax.

According to the current rules, excise tax on cigarettes will continue to rise from the 1^st of July from 11,500 HUF to 11,900  HUF, to the 31 percent  of the retail selling price.

The government expect 20 billion HUF additional  tax revenue from the measures. (MTI)