Bulgaria agrees to tax on heated tobacco products
Bulgaria has become the most recent country to introduce an excise tax on heated tobacco products.
Heated tobacco products are defined in the decree as “a type of smokeless tobacco product for which there is no combustion process of the tobacco contained therein, but where consumption is enabled by heating it to produce an aerosol.”
The revised legislation adheres to a precedent set by more than a dozen countries across Europe and Asia whereby the base for levying the excise tax is identified as the weight of the tobacco contained in the product measured in kilograms.
The rate of excise tax is set at BGN 152 (EUR 77.24) per kilogram. The portion of Decree No 163 pertaining to the creation of an excise tax on heated tobacco products (§ 69) will enter into force on 1 January 2018.