Reports on the structure and rates of excise duty applied on cigarettes and other manufactured tobacco products.
The Directives on the approximation of excise duties stipulate that the rates and structure of excise duty are to be reviewed every three years and from 2002 onwards every four years. The Commission is required to present a report, which may or may not be accompanied by proposals for revising the Directives. Until now the Commission has made four reports.
In September 1995 the Commission presented its first report, which, in addition to tobacco, dealt with alcoholic beverages and mineral oils ( COM(95) 285 of 13/09/1995).
A second report ( COM(1998) 320 ) was presented by the Commission in May 1998, and was accompanied by a proposal for a directive amending the existing tobacco legislation to incorporate a number of technical adjustments ( COM(98) 320 ). The proposal was adopted by the Council on 29 July 1999 as Council Directive 1999/81/EC.
The third report ( COM(2001) 133-1 ) was published in March 2001 together with a proposal introducing significant revisions to the rates and structure of excise duties on manufactured tobacco ( COM(2001) 133-2 of 14/03/2001 ). The Commission issued a press release ( IP/01/368 ) together with a list of frequently asked questions (MEMO/01/87) on the occasion of the adoption of this report and proposal.
The proposal was adopted by the Council on 12 February 2002 as Council Directive 2002/10/EC amending Directives 92/79/EEC, 92/80/EEC and 95/59/EC as regards the structure and rates of excise duty applied on manufactured tobacco.
The Commission is required to present to the Council every four years a report (possibly accompanied by an amendment proposal) on the structure and rates of excise duty applied to cigarettes and other manufactured tobacco products. The preparatory work for the latest report included a study (see summary and full text ) to assess the need to adapt the structure of excise duties and to evaluate the impact of the new requirement for minimum excise duty on cigarettes. A Fiscalis seminar was also organised and numerous discussions were held with Member States, the sector concerned and other interested parties. In the light of the experience gained through this, the Commission services take the view that a proposal for a directive is needed with a view to simplifying and modernising the arrangements, improving the operation of the internal market and putting into effect the other objectives of the Treaty, such as health protection. For the purpose of up to date involvement of all those concerned and interested members of the public, a public consultation was done via the Internet.
The European Commission on 16 July 2008 presented a Report and a proposal for a Directive to amend the current EU excise duty legislation on tobacco. For further information see the tobacco legislation page.
Study on the measuring and reducing of administrative costs for economic operators and tax authorities and obtaining in parallel a higher level of compliance and security in imposing excise duties on tobacco products
Specific contract no 4 under FWC