Therefore, the manufacturers and distributors of cigarettes were required to, by November 30 2013, submit to the ITA the new retail prices of cigarettes which will be effective from the beginning of 2014.
The decision on establishing specific minimum excise duty on cigarettes for 2014 defines that the following excise tax will be paid:
- Proportional excise duty at the rate of 42% of the retail price of cigarettes;
- The specific excise duty will be increased from BAM37.50 ($26) to BAM45.00 per 1,000 cigarettes, while an overall minimum excise duty will be increased to BAM104.50 per 1,000 cigarettes from BAM91.00 at the moment.
For cigarettes with tax labels issued before December 31 2013 but imported after January 1 2014, the importers will pay a difference between excises already paid and the new liability, according to the calculation made by the relevant ITA Customs Office.
© 2019 Euromoney Institutional Investor PLC. For help please see our FAQ.