Increase in excise duties on roll-your-own tobacco
Article 29 of the 2017 social security financing act rewrites Article 575 A of the General Tax Code. For fine-cut tobacco for rolling cigarettes, the ad valorem component rises from 32% to 37.7% of the retail price and the specific component is set at €67.50 per kilogram; the minimum excise is raised to €161/kg in 2017, then €167/kg. Other parameters are set notably at 49.7% and €48.75 per thousand cigarettes, with a minimum excise of €210 per thousand cigarettes. The stated aim is to align the tax burden on rolling tobacco with that on cigarettes. The scale was later replaced by the 2018 social security financing act trajectory.
Measure originators
A positive amount is revenue or savings for public finances; a negative amount is a cost or lost revenue.
Measure impact
Roll-your-own tobacco consumers: according to the impact assessment, an expected price rise of about 15% (around +€1.10 for a 30 g pack at €7.50). Expected revenue of €120m a year for social security.
Official references
Sources
Procedure timeline
Follow the progress of this fiscal measure through the different stages of the parliamentary procedure.
Administrative implementation
Entrée en vigueur de la mesure et mise en œuvre par l'administration
President of the Republic signature
Publication au Journal officiel
Possible referral to Constitutional Council
Décision de conformité / censure partielle
National Assembly has the final say
Si échec CMP
Debate and vote
Débat et vote en séance publique à l'Assemblée nationale, ou engagement de la responsabilité du Gouvernement (article 49.3)