Finance Ministry proposes to raise excise tax on alcohol gradually

  • 2020-01-20
  • LETA/TBT Staff

RIGA - The Finance Ministry proposes to raise the excise tax rate on alcohol gradually, said Finance Minister Janis Reirs' aide Ints Dalderis (New Unity) in an interview with the Latvian public radio today.

"We would call to develop a gradual excise tax hike policy, providing for a excise tax hike in line with the economic growth," said Dalderis, adding that the coalition will start revising this issue on Monday.

At the same time, in line with the present regulations, there is a significant excise tax hike planned as of March 1, which might mean a significant amount of revenue that fail to be collected into the budget. According to Dalderis, it might amount to EUR 10-20 million.

He also noted that when discussing the excise tax policy, it should be remembered that trade of alcohol in the border area is a significant part of the economy.