Armenia to Raise Excise Taxes on Wine, Cigarettes, and Vapes in 2027
The National Assembly of Armenia has officially adopted amendments to the country’s Tax Code in its second and final reading. The new legislation outlines a revised excise tax schedule spanning 2027 to 2029, designed to redistribute the tax burden across alcohol categories and gradually tighten tobacco taxation.
According to Deputy Finance Minister Arman Poghosyan, the current tax schedule expires at the end of 2026. The newly approved rates, indexed to inflation and harmonized with Eurasian Economic Union (EAEU) standards, will take effect on February 1, 2027.
Under the new framework, tobacco and nicotine products will face significant tax increases. Traditional cigarette excises will rise from 19,500 drams to 21,000 drams per 1,000 pieces in 2027, eventually reaching 24,000 drams by 2029. Meanwhile, the excise tax on electronic cigarettes will jump from 4,150 drams to 5,400 drams per 1,000 units, with a projected climb to 9,000 drams by 2029.
The alcohol sector will also see adjustments. Wine taxes will increase from 165 drams to 210 drams per liter. Conversely, the excise on fruit vodka will drop to 3,000 drams per liter, while brandy (cognac) will be standardized at 4,000 drams per liter of absolute alcohol, raising rates for younger spirits while lowering them for aged varieties.









