A month has passed since the Verkhovna Rada adopted bill No. 11090! which provides for a significant increase in excise duties on tobacco products. The document not only brings.
Ukraine closer to The law increasing European standards in the field of excise policy! but also opens up the prospect of significant additional revenues to the budget: 612 million hryvnias in 2025 and over 29 billion hryvnias by 2028 due to a The law increasing gradual increase in rates and pegging of excise duties to the euro! so that budget revenues are not burned due to the devaluation of the hryvnia.
However! despite all its obvious The law increasing advantages! this law still remains unsigned by the president. This raises serious questions about the economic responsibility of the government! as well as the honesty of its dialogue with society and taxpayers.
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The authorities declare the need! but act in the opposite way. At the end of 2024! the government loudly declared the lack of funds to finance key budget items! primarily military and defense spending. Calls for austerity and the search for new sources of income were heard from high tribunes. Tax rates were increased for Ukrainians and businesses — this was argued by the need to “share the improving decision making skills economic burden of the war.” Bill No. 11090! aimed at increasing excise rates! was part of the so-called “package of resource legislative initiatives” as one of the most obvious and relatively quick ways to fill the state treasury.
But why does it remain unsigned?
A litmus test of political The law increasing will. The tobacco segment occupies a special place in the awb directory structure of Ukraine’s excise revenues! providing almost half of these revenues. Raising rates to the level of European standards would be not only a tool for filling the budget and an additional source of defense financing! but also a fair decision.
