Approaches to determining the unit of excise tax rate on beer may change in Ukraine. This is stated in the bill of the Cabinet of Ministers №5600, which was registered in the Verkhovna Rada the day before.
It is noted that Ukraine is obliged to bring its own legislation in line with the European directive of October 19, 1992 on the harmonization of structures of excise duties on alcohol and alcoholic beverages.
“Article 3 of this directive stipulates that the excise tax levied on beer is set depending on the actual strength of the finished product. In Ukraine, the rate of excise duty on beer is set per 1 liter of finished product,” the government explained.
The bill proposes to replace the current rate of excise duty for 1 liter of beer with a rate for 1 liter of 100 percent alcohol, based on the weighted average strength of beer for 2019-2020 in 4.88% by volume and the consumer price index in 2020 at 5%.
In particular, the document proposes to impose an excise tax on alcohol contained in malt beer at the rate of UAH 59.82 per 1 liter of 100% alcohol, for a beverage containing 4% alcohol the tax will be UAH 2.39 / l, and 8% alcohol – 4.79 UAH / l.
Now beer is subject to excise tax of UAH 2.78 per 1 liter of beverage of any strength.
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