The Government of Tajikistan offers stage-by-stage increase in an excise tax on tobacco products. Cigarette prices are expected to rise three times as much beginning on January 1, 2018.
The government has already worked out a draft regulation on raising the excise tax on the tobacco products.
Tajikistan’s lower house (Majlisi Namoyandagon) of parliament is currently discussing a draft law on limited use of tobacco in new edition, which has been worked out following the government’s initiative to raise cigarette prices.
The draft law was discussed at a meeting with representatives of business community that took place at the Chamber of Commerce and Industry on October 11.
Representatives of government bodies, in particular, noted that Tajikistan has the lowest excise tax on tobacco products in Central Asia – 1.00 euros on 1,000 pieces.
In Kyrgyzstan, for example, the excise tax on tobacco products is 7.00 euros on 1,000 pieces.
In this regard, the government has decided to equate the excise tax rate for tobacco products with rates set by neighboring countries.
The government offers stage-by-stage increase in the excise tax on cigars, cigars need to be cut on both ends, cigarillas and cigarettes of tobacco or tobacco substitute to 2.40 euros on 1,000 pieces in 2018, to 4.00 euros in 2019 and 5.60 euros in 2020.
The excise tax on tobacco containing cigarettes (with filter and without filter) is expected to be raised to 3.00 euros on 1,000 pieces in 2018, 5.00 euros in 2019, and 7.00 euros in 2020.
Recall, the applicable Law on Limited Use of Tobacco came into effect in Tajikistan on January 1, 2011. Under this law, sale of tobacco and smoking in schools, hospitals, organizations and enterprises irrespective of forms of their property, airports, train stations, recreation areas, sports and culture facilities and in public transport is banned. Additionally, sale of tobacco closer than 100 meters to kindergartens, schools, hospitals and other educational and healthcare institutions is banned. The law also bans sale of tobacco to and by teenagers. Smokers now have to use special places. Those who break the law will have to pay a fine from 5 to 15 indexes (one index now makes 50 somoni) for natural persons from 30 to 300 indexes for legal entities.
