Excise Taxes on Vapes in Russia to Increase from March 1

From March 1, excise taxes on cigarettes, cigars, e-liquids, and heated tobacco will increase in Russia. Learn about the specific tax increases, the cancellation of the tax on nicotine delivery devices, and the Ministry of Agriculture’s increase of the minimum price for tobacco products.

Starting March 1, 2023, Russia will increase the excise taxes on various tobacco products, including cigarettes, cigars, e-liquids, and heated tobacco. This move is part of the government’s efforts to reduce tobacco consumption in the country. The tax on cigarettes and cigars will be raised by 2%, while the tax on e-liquids and heated tobacco will be raised by 11%. However, the tax on nicotine delivery devices will be cancelled, which was previously set at 64 rubles per unit.

Cigarettes and Cigars

The excise tax on cigarettes and cigars will increase to 2,603 rubles per 1,000 pieces (plus 16% of the calculated value). This means that a pack of cigarettes cannot be sold for less than 119 rubles in stores, or else it will be considered illegal. To complement this move, the Ministry of Agriculture has also raised the minimum price for tobacco products by two rubles.

E-liquids and Heated Tobacco

The excise tax on e-liquids will increase from March 1, 2023, until December 31, 2025. The tax rate will be set at 20 rubles per 1 ml, and it will increase to 21 rubles in 2024 and 22 rubles in 2025. Similarly, the excise tax on heated tobacco will increase by 10.6% to 8,669 rubles per kg. In 2024, it will increase to 9,016 rubles, and in 2025, to 9,377 rubles.

Product	Previous Tax	New Tax from March 1, 2021	Minimum Price in Stores
Cigarettes	2,552 rubles per 1,000 pieces (plus 16% of the calculated value)	2,603 rubles per 1,000 pieces (plus 16% of the calculated value)	119 rubles per pack
E-liquids	18 rubles per 1 ml	20 rubles per 1 ml	N/A
Heated Tobacco	7,836 rubles per kg	8,669 rubles per kg	N/A

Note: The minimum price for tobacco products in stores has been increased by two rubles per pack. Any sale below the new minimum price of 119 rubles per pack will be considered illegal. The excise tax on nicotine delivery devices has been abolished.

Proposed Ban on Vapes

Earlier, Vyacheslav Volodin, the Speaker of the State Duma, proposed a ban on vapes, primarily for children and teenagers. This idea received support from the Ministry of Health and the Federal Service for Surveillance on Consumer Rights Protection and Human Wellbeing (Rospotrebnadzor).

The increase in excise taxes on cigarettes, vapes, and other tobacco products in Russia is a significant move to reduce tobacco consumption in the country. While this will lead to an increase in prices, the government hopes that it will discourage people from smoking and help promote healthier habits. With the proposed ban on vapes, it is clear that the government is taking a serious approach to tackling the issue of smoking among young people.

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Matthew Ma

Marketing at Ecigator

With over a decade of experience in the e-cigarette industry, Matthew Ma is a seasoned expert in both the manufacturing and usage aspects of vaping products. His extensive background has provided him with a deep understanding of the intricacies and evolving dynamics of e-cigarettes.