Government is initiating the raise of excise tax on cigarettes and alcohol products.

Draft law will be presented to Budget and Finance Committee of Parliament by Deputy Minister of Finance of Georgia Giorgi Kakauridze today.

According the planned amendments, from January 1^st of 2015 the excise tax of filtered and unfiltered cigarettes, malt bee, ethyl and alcoholic beverages will be raised.

Later, starting from July 1^st of 2015so called “mixed system” of excise tax will be introduced for filtered and unfiltered cigarettes. The rules of tax paying will be changed as well.

Excise taxation operation for tobacco products, price for import and export of excise products will be determined according to quantity/weight and unit price.

As to excise tax amount, it is as follows:

Malt Beer, Ethyl and Alcoholic beverages – the excise tax is raised by 100%

Filtered cigarettes (20 cigarettes pack) – the excise tax is raised by 0,15 GEL.

Unfiltered cigarettes (20 cigarettes pack) – the excise tax is raised by 0,05 GEL.