Ukraine: The Ukrainian National Committee of the International Chamber of Commerce (ICC Ukraine) has asked president Zelenskyy to sign a
bill to change the excise taxes on tobacco and related products, which was sent for signature on 9th December 2024, media
reports. If signed, it would introduce new excise tax rates for tobacco and related products from 1st January 2028, taking into
account the minimum level determined by the
EU Tobacco Tax Directive (2011/64/EU), and the euro would be introduced as the monetary unit for the tax rate on such products. Starting from 1st January 2028, heated tobacco would be taxed at a rate of €72 per 1,000 pieces, other products intended for inhalation without burning (we assume this would cover herbal heated products) at a rate of €85 per kg, and nicotine-containing products for oral use (nicotine pouches) at a rate of €85 per kg. Until that date, heated tobacco would be taxed at €70.4 per 1,000 pieces in 2025, €70.8 in 2026 and €71.14 in 2027; other products intended for inhalation without burning would be taxed at a rate of €73 per kg in 2025, €77 in 2026 and €81 in 2027; and nicotine-containing products for oral use would be taxed at a rate of €73 per kg in 2025, €77 in 2026 and €81 in 2027.