Cigarettes to be more expensive from January 1, entity governments to decide on increased excise duties on fuel and alcohol

The Steering Board of the Indirect Taxation Authority (ITA) of BiH decided at today's session to submit the report of the Working Group on increasing excise duties on oil derivatives, beer, and cigarettes to the entity governments for their opinion, given that no agreed-upon solution was reached that the ITA Steering Board could decide on within its mandate.

The ITA Steering Board adopted the Decision on determining the special and minimum excise duty on cigarettes and smoking tobacco for 2016, which will be applied from January 1, 2016.

According to the adopted decision, the minimum excise duty on cigarettes will amount to 2.23 KM per pack of cigarettes, while the special excise duty for a pack of 20 cigarettes will be 1.20 KM. The excise duty on smoking tobacco will be 80 percent of the minimum excise duty and will amount to 89.20 KM per kilogram.

Taxpayers and distributors of cigarettes are obliged to inventory existing stocks and pay the difference between the calculated and already paid excise duty by January 17, 2016.

The Decision on determining the customs tariff for 2016 was also adopted at the proposal of the Ministry of Foreign Trade and Economic Relations of BiH.

The Steering Board adopted the Decision on quantities of diesel fuel on which road toll is not paid, thereby supporting production in mines in both entities.

The Steering Board today adopted the Report on the work of the ITA for the first six months of this year, with the conclusion that they are satisfied with the results achieved.

 

The Work Plan of the ITA for the next year was also adopted with certain remarks intended to improve the work of this institution.