Special consumption taxes on cigarettes are reduced, those on tobacco are raised, with almost zero global financial effects on the State’s accounts: it is one of the measures envisaged by the maxi-fiscal amendment to the Budget Law that would alter the way in which excise taxes are calculated on consumption on cigarettes and minced meat. The first will have a global reduction in the tax burden from 42 million in 2023 to -46 million in 2025, considering consumption in 2021.
On the other hand, in the shredded market, in which a prudential estimate is forecast for 2023 that takes into account the drop in sales (-3.3%) recorded in the first 10 months of last year, the Italian maneuver expects greater revenue from of tariff changes for excise duties equal to 50.1 million from 2023. The overall balance of the measure would be almost neutral: +1.5 million in the first year, +7.7 million in 2024, +3.5 million in 2025 .
In general, from January 1, 2023 for a pack of cigarettes, considering an average price of around 5 euros, the initially expected increase of 20 cents drops to around 10-12 cents. Chopped tobacco, i.e. tobacco in small pieces sold in bulk for so-called “do it yourself” cigarettes, will see a price increase of about 40 cents for the most expensive packs.
Source: IL Tempo
Emma Fitzgerald is an accomplished political journalist and author at The Nation View. With a background in political science and international relations, she has a deep understanding of the political landscape and the forces that shape it.
