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Generic Tax Name Excise duty - Tobacco products(EU harmonised)
Tax name in the national language Excise duty - Tobacco
Tax name in English Excise duty - Tobacco
Member State UK-United Kingdom
Tax in force since 1979/01/01
If abolished, date on which the tax ceases to apply
Business version date 2012/01/01
Version date 2012/03/22
This file was last updated on

Type of tax
Direct taxes Personal income tax
Corporate income tax

Indirect taxes VAT
Excise duty (EU harmonised)
Alcoholic beverages
Energy products and electricity
Manufactured tobacco

Social security contribution Employers
Legal base

Tobacco Products Duty Act 1979, as amended by subsequent Finance Acts.

Who sets
The tax rate is set by

The tax base is set by

The reliefs are set by



Geographical Scope



United Kingdom manufacturers are required to keep a production account and make a return of all chargeable products manufactured each day. The products are normally deposited in an approved secure store and duty is chargeable on any removed for home use. Imported manufactured tobacco may be placed in a warehouse or approved secure store or charged at the port of importation.

Tax object and basis of assessment

Delivery of United Kingdom manufactured and imported tobacco products for home use.

Cigarettes are chargeable with an ad valorem duty calculated on their retail price and a specific duty per 1,000 cigarettes. For the purpose of the ad valorem duty, the retail price is normally the price recommended by the importer or manufacturer for the retail sale of the cigarettes; where no price has been recommended, the highest price at which cigarettes of that description are normally sold by retail is used. For the purpose of the specific duty, cigarettes exceeding 9 cm in length excluding any filter or mouthpiece are treated as if each 9 cm or part thereof were a separate cigarette.

The duty on other chargeable tobacco products is based on their weight as determined before delivery for home use.

Deductions, Allowances, Credits, Exemptions

Rate(s) Structure
  Specific Excise
(in national currency)
Specific Excise
(in national currency)
Ad Valorem Excise
per 1,000 units per kg % of retail price
Cigarettes 154.95 16.50 %
Cigars and Cigarillos 193.29
Fine cut smoking tobacco (for rolling of cigarettes) 151.90
Other smoking tobacco 84.98


Rates above from 6pm 23 March 2011


  Specific Excise
(in national currency)
Specific Excise
(in national currency)
Ad Valorem Excise
per 1,000 units per kg % of retail price
Cigarettes 167.41    16.50%
Cigars and Cigarillos   208.83  
Fine cut smoking tobacco (for rolling of cigarettes)   164.11  
Other smoking tobacco   91.81  

Rates above as of 6pm 21 March 2012

Tax due date

If satisfactory security is given, payment of the excise duty on both home‑produced and imported products may be made on a monthly basis, 15 days after the end of each delivery period.

Tax collector

Special features


Provision has been made for the relief from or remission or repayment of the duty on products exported or shipped as stores, and products used solely for the purposes of research or experiment.

Fiscal marks:

Cigarettes and hand‑rolling tobacco for home use must bear a UK fiscal mark. In the case of imported tobacco products, the fiscal mark must be applied before the product is imported into the UK.

Economic function


Environmental taxes

Tax revenue
ESA95 code d214ac

Annual tax revenue (millions)
Tax revenue as % of GDP
Tax revenue as % of total tax revenue
2011 9,517.00 GBP 0.59
2010 9,040.00 GBP 0.58
2009 8,734.00 GBP 0.59
2008 8,253.00 GBP 0.54
2007 8,051.00 GBP 0.54
2006 8,089.00 GBP 0.57
2005 8,021.00 GBP 0.60
2004 8,097.00 GBP 0.65
2003 8,079.00 GBP 0.68
2002 7,947.00 GBP 0.71
2001 7,638.00 GBP 0.72
2000 7,666.00 GBP 0.75