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MOSCOW, July 23 (Itar-Tass) - Russia will raise its excise tax for tobacco higher than planned in 2014-2015 under a draft law prepared by the Russian Health Ministry, the Izvestia daily writes on Tuesday.
According to the current edition of the Russian tax code, an excise duty for cigarettes stands at 550 rubles per 1,000 cigarettes plus 8% of retail price. The excise duty for cigarettes is expected to rise to 800 rubles per a thousand pieces plus 8.5% of retail price in 2014 and to 960 rubles and 9% of retail price in 2015.
The Russian Health Ministry also suggests higher excise taxes in the draft amendments to the Law on Protection of People’s Health from the Impact of Tobacco Smoke and the Consequences of Tobacco Consumption”: 1,200 rubles and 10% of retail price in 2014 and 2,050 rubles and 10% of retail price in 2015.
According to experts, if adopted, the new excise duties will increase the average retail price of a cigarette pack from the current 40 rubles to 68 rubles in 2014 and 100 rubles in 2015, Izvestia writes.