The European Union (EU) currently does not enforce a uniform vape tax across its 27 member states, leading to a varied landscape of taxation policies for e-cigarettes and related products. More than half of the EU countries have introduced taxes on e-liquids based on volume, categorizing them under consumption taxes. However, the tax rates and structures differ significantly across the region.
Types of Vape Tax Structures
EU countries generally adopt one of four tax structures when it comes to vaping products:
- Specific Taxation: A fixed amount is applied per unit of product, such as per milliliter of e-liquid.
- Ad Valorem Taxation: The tax is based on a percentage of the product’s value.
- Tiered Taxation: Different tax rates are applied to different product categories.
- Mixed Taxation: A combination of specific and ad valorem taxes is used.
These taxes may apply to all vape products, including devices, accessories, and e-liquids, or they may be limited to nicotine-containing e-liquids only.
Vape Tax Policies Across the EU
The following table provides an overview of the vape tax policies implemented by various EU member states:
| Country | Tax Rate | Notes |
|---|---|---|
| Austria | No specific vape tax; 20% VAT applies. | |
| Belgium | €0.15/ml from January 2024 | All products released after January 2024 must bear tax stamps. |
| Bulgaria | BGN0.35 (€0.18)/ml, rising to BGN0.45 (€0.23)/ml by 2026 | Applies to both nicotine-containing and nicotine-free e-cigarettes. |
| Croatia | HRK0/ml; 25% VAT applies. | No excise tax currently in place. |
| Cyprus | €0.12/ml | Applies to both nicotine-containing and nicotine-free e-liquids. |
| Czech Republic | CZK2.50 (€0.10)/ml (2024), rising to CZK10 (€0.41)/ml by 2027 | Progressive annual increase planned. |
| Denmark | DKK1.50 (€0.20)/ml for nicotine ≤12 mg/ml; DKK2.50 (€0.34)/ml for nicotine >12 mg/ml | Zero-nicotine e-liquids are exempt from taxation. |
| Estonia | €0.21/ml (2024), rising to €0.23/ml by 2026 | Excise stamps required. |
| Finland | €0.30/ml | Fixed tax rate since 2017. |
| France | No excise tax on e-cigarettes; 20% VAT applies. | |
| Germany | €0.20/ml (2024), rising to €0.32/ml by 2026 | A significant increase planned over the next few years. |
| Greece | €0.10/ml | Introduced in 2017, no change since. |
| Hungary | HUF33 (€0.085)/ml | Approximately HUF0.5bn (€1.27m) in e-liquid tax revenue was collected in 2022. |
| Ireland | No excise tax on e-cigarettes; 23% VAT applies. | Authorities may introduce a tax by 2025. |
| Italy | 15% of cigarette excise duty for nicotine-containing liquids; 10% for nicotine-free liquids | Tax calculated bi-weekly based on the total volume sold. |
| Latvia | €0.20/ml | Tax applies to all e-liquids regardless of nicotine content. |
| Lithuania | €0.25/ml | Surveillance fee of 0.15% applies to electronic devices used for e-liquid consumption. |
| Luxembourg | No specific vape tax. | Only 20% VAT applies. |
| Malta | No specific vape tax. | 18% VAT applies. |
| Netherlands | No current tax; national tax planned for 2026 at the earliest. | National tax proposal in progress. |
| Poland | PLN0.55 (€0.13)/ml | Excise stamps required for products placed on the market after January 2021. |
| Portugal | €0.175/ml for nicotine-free; €0.351/ml for nicotine-containing liquids from January 2024 | Excise stamps required; revenue in 2022 was €2.7m. |
| Romania | RON0.81 (€0.16)/ml (2024), rising to RON1.03 (€0.21)/ml by 2026 | Progressive increase scheduled over the coming years. |
| Slovakia | No specific vape tax; 20% VAT applies. | |
| Slovenia | €0.21/ml for nicotine-containing; €0.10/ml for nicotine-free e-liquids | Excise duty applies to all e-liquids. |
| Spain | Only VAT at 21% applies; Canary Islands have a different regime with 7% IGIC. | E-cigarettes are not included in the specific tax for tobacco. |
| Sweden | SEK2,000 (€184)/l for nicotine ≤15 mg/ml; SEK4,000 (€367)/l for 15–20 mg/ml | Exemption for personal use up to 20 ml. |
Conclusion
The vape taxation landscape in the European Union is diverse, with member states adopting various tax structures and rates. While some countries have introduced specific taxes on e-liquids based on volume, others rely solely on value-added tax (VAT). The tax rates and policies vary significantly across the region, with some countries planning progressive increases in the coming years. As the e-cigarette market continues to evolve, it is essential for businesses and consumers to stay informed about the taxation policies in their respective countries to ensure compliance and make informed decisions.