The Polish government has unveiled plans to extend the country’s excise tax to vapes and tobacco heating devices.
The legislation is to be adopted by the Council of Ministers in the fourth quarter of 2024. In late September, the planned draft bill was added to the government’s legislative agenda for this year.
Polish officials believe that, under current rules, vapes are priced in a manner that favours them over traditional tobacco products such as cigarettes. The proposed changes are designed to increase their price to bring them more in line.
Prices should be in line with those of cigarettes
A statement from the chancellery of the Council of Ministers says: “Currently, disposable electronic cigarettes are priced at around PLN20 [€4.60] to PLN35 [€8.10] per unit, which in terms of nicotine content corresponds to two packs of traditional cigarettes.”
It adds that taking into account the number of possible puffs, a vape is equivalent to between two and three packs of traditional cigarettes. The price of a pack of cigarettes is currently around PLN18 [€4.20]).
“The prices of devices to heat innovative products that are available in the market are varied and range on average between PLN150 [€35] to PLN500 [€115] per unit. However, they can be purchased cheaper with various promotional campaigns,” the statement says.
Led by prime minister Donald Tusk, who has headed a coalition government since December 2023, the Council of Ministers is supported by a majority of 241 of the 460 seats in the Sejm, the lower chamber of the parliament.
The ruling parties also control the majority of the seats in the Senate, the upper chamber. This suggests the planned changes are likely to be passed by Poland’s lawmakers.
Price hikes approved by ministers
The latest legislative proposal goes against the idea of encouraging vapes as a safer alternative to cigarettes by making them cheaper.
It comes after a move earlier this year by the Ministry of Finance to significantly raise the rates on e-liquids, novel tobacco products (NTPs), cigarettes and tobacco for smoking, among others.
Under the plan, in March next year the excise tax on cigarettes is to be raised by 25 per cent, the rate on tobacco for smoking by 38 per cent, the tax on NTPs by 50 per cent, and the rate on e-liquids by 75 per cent.
In 2026, the excise tax rates on these four product categories will be further increased by 20 per cent, 30 per cent, 20 per cent and 50 per cent, respectively.
In 2027, the ministry is aiming to implement another round of tax rate increases. That year, the rates on these four categories will be raised by 15 per cent, 22 per cent, 15 per cent and 25 per cent, respectively.
Plans and voices against disposables
Meanwhile, Poland is also considering a ban on disposable vapes.
In a televised interview broadcast in February 2024, Health minister Izabela Leszczyna Leszczyna said she had discussed the proposed ban with the prime minister who “gave the green light” to initiate legislative work on passing the measure as a bill.
