Source: European Parliament
The evaluation of Directive 2011/64/EU[1] published in 2020 shows that, while the current rules work well in terms of predictability and stability for EU Member States’ fiscal revenue, the current minimum rates established under the directive have lost traction over time and are no longer effective against market distortions, resulting in lost tax revenues for Member States. Besides, the minimum rates are no longer as effective in contributing to the ambitious goals of Europe’s Beating Cancer Plan[2].
The Commission continues to work on a revision of this directive to draw up a proposal based on the latest market and regulatory data available.
The Commission will continue to give priority to protecting people from the harmful effects of tobacco and related products. Taxation plays an instrumental role in reducing the consumption of these harmful products.
- [1] https://eur-lex.europa.eu/legal-content/en/ALL/?uri=CELEX%3A32011L0064, Council Directive 2011/64/EU on the structure and rates of excise duty applied to manufactured tobacco, OJ L 176, 5.7.2011, p. 24.
- [2] https://eur-lex.europa.eu/legal-content/en/TXT/?uri=COM%3A2021%3A44%3AFIN, SWD (2021) 44 final.