The Draft Law on Excise Taxes
that the Government of Serbia adopted yesterday envisages for the excise tax on whiskey with alcohol content of 40%, which is now RSD 348.17 per liter, to be RSD 185, as reported on the N1 website.
The same excise tax will also apply to all other strong alcoholic drinks with an alcohol percentage of 40%, which will lead to a drop in the price of whiskey, but also an increase in the price of other alcoholic drinks which have high alcohol content, and which are now subject to a lower excise tax of RSD 136.62.
The new law equalizes the amount of the excise tax on all alcoholic drinks relative to the percentage of the alcohol they contain, and not relative to the ingredient they are made of.
The current law envisages five different levels of excise taxes – two will remain the same and be calculated per liter. One is the excise tax on beer of RSD 26.44, and the other the excise tax on “other low-alcohol drinks”, those with 1.2 to no more than 15% alcohol, including wines and various ciders, with the excise tax remaining at RSD 23.14 per liter.
As for fruit, frape, wine and other brandies with herbal extracts, herbs and agricultural products, the excise tax is RSD 136.62 per liter. The excise tax for brandies made from grains and other agricultural ingredients, including whiskey, it is RSD 348.17 per liter, whereas, for other strong alcoholic drinks, outside said categories, the excise tax is RSD 223.67 per liter.
Under the new law, the calculation is completely different – the excise tax per 100 liters (1 hectoliter) of pure alcohol is RSD 46,250.
The reason for changing the excise tax policy when it comes to alcoholic drinks is the harmonization with the EU directives.