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| April 9, 2019

Increase in taxes on spirits, tobacco and gambling?

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The finance ministry has sent a draft bill to the comment proceeding, which changes some tax laws in connection with increasing income of the public budgets. It contains a proposal for increasing the excise tax on spirits, tobacco products, raw tobacco and on heated tobacco products, as well as the rate on gambling and some specific taxes on gambling, for example.

The taxation of lotteries, bingos and live games should, according to the proposal, increase from the current 23 % to 30 % from the year 2020. In the case of fixed-odds betting or raffles, there will probably be an increase from 23 % to 25 %. The proposed change has many opponents, though, who argue that due to increase of taxes, the danger of illegal gambling may increase.