Government Strikes E-Cigarette Market with New Excise Taxes

The government has approved a draft bill raising excise tax rates on vaping devices and e-liquid to curb consumption among youth and protect public health.

Government Approves Higher Excise Taxes on E-Cigarettes

The government has adopted a draft amendment to the Excise Duty Act and the Fiscal Penal Code, raising the excise tax on vaping devices from 40 PLN to 50 PLN. The tax on e-liquids will also increase from 1.80 PLN to 2.20 PLN per milliliter, according to the Ministry of Finance.

Regulatory Impact Assessment Outlines Consumption Goals

The regulatory impact assessment accompanying the project states that higher excise rates will reduce the economic availability of these products, thereby limiting their consumption, particularly among young people, and positively affecting public health.

Taxation Extended to Base Units and Disposables

The ministry plans to apply excise duty to all base units, including power and control devices without heating elements, which were previously untaxed. Additionally, the tax on liquid contained in disposable e-cigarettes will increase from 40 PLN to 50 PLN to prevent regulatory evasion.

New Statutory Definitions for Electronic Cigarettes

The Ministry of Finance is introducing new statutory definitions, categorizing e-cigarettes into disposables, refillable pod systems, and a residual category for all remaining electronic cigarette types.

Implementation Timeline and Fiscal Impact

Most of the new regulations will enter into force 14 days after publication in the Journal of Laws and will apply after 3 months, except for the increased e-liquid tax rate, which takes effect on January 1, 2027.