14:53 - 3.11.2021

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November 3, Fineko/abc.az. Once, the excise tax rate was at a very low level.

There was a plan to raise the rate consistently, ABC.AZ reports citing Orkhan Nazarli, the head of the State Tax Service of Azerbaijan, while saying this during the discussion of the proposed draft amendments to the Tax Code. 

Nazarli noted that once the level of the shadow economy in the cigarette market was quite high: “Today the last indicator is about 2-3%. All countries have such an indicator. But a sudden increase in the excise tax in the previous period would not be the right step. Entrepreneurs engaged in this field understand that the process will be lengthy. Today, the average price for a pack of cigarettes is 2.40 manats. The increase in excise taxes will also affect the average price of cigarettes. After that, the average price of one cigarette will be 2.60 manats. Revenues from this area are directed to public healthcare. The issue is regulated in this way."