In recent years, the electronic cigarette market is developing rapidly.

 

Data shows, the German electronic cigarettes turnover is expected to reach 350 million in 2016 to 400 million euros (1 euro 7.4 yuan), year-on-year growth of 30%. Government hope that the rapid growth of the industry to become another source of government revenue. In order to avoid confusion, the eu is actively develop electronic cigarette tax system has universal applicability.

 

 

 

The integration of electronic cigarette taxes in the European Union, etc

 

 

 

In December 2015, the European Union reported a customs union, the present situation of the electronic cigarette consumption tax shall be exempted may "can cause significant to each member of the finance and long-term effect". According to the report, part of the eu has begun to impose taxes on such products. If the other member states to follow to the policy of the inconsistent, may affect the normal operation of the market.

 

Throughout the European Union countries, to impose value added tax on electronic cigarettes are currently, electronic cigarettes liquid taxes were imposed on some countries at the same time. Italy's tax standard is 0.385 euros per milliliter, Portugal at 0.6 euros/ml; The government plans to impose electronic cigarettes liquid consumption tax, standard is 0.1 euro/ml; Latvia to electronic cigarettes liquid and nicotine respectively 0.01 euros/ml and 0.005 euros/ml of the consumption tax.

 

In June, Hungary and Slovenia officially announced that they will also be a tax on electronic cigarettes. According to media reports, Hungary will be from January 1, 2017, 65 Hungarian forint on electronic cigarettes liquid/ml of tax (1 Hungarian forint about 0.024 yuan), and the standard after July 1, 2017 to 70 Hungarian forint/ml. Slovenia since August 1 this year already began to carry out the electronic cigarettes liquid 0.18 euros per milliliter of tax standards.

 

With nearly a quarter of the eu member states to electronic cigarettes, specific taxes, tax is no longer a individual phenomenon. Electronic cigarette industry facing now has become a question: how wide the popularization rate of this policy?

 

The eu economic and financial affairs council recently submit an application to the European commission, the requirements in the tobacco taxes to introduce tax items of the new tobacco products, aimed at "formed in the countries in the world market fair and reasonable new product tax treatment, avoid the potential contradictions and legal ambiguity". Emphasis on the application, regardless of what solution, should be balanced fiscal revenue, tax management fee and the relations between and among public health purposes.

 

 

 

The integration of electronic cigarette taxes in the European Union, etc

 

 

 

Many newspapers that on electronic cigarette and the ordinary type burning tobacco products the same degree of tax rate, is likely to lead to electronic cigarette price soared. As well as media believe that the move to the eu region the role of the formation of a unified tax system sprang out.

 

Of the electronic cigarettes can be widely used in European Union countries tax system is a complex and arduous task. Francesco opal, head of the international one day smoke points out: "at present, because of the lack of dynamic sales and consumer behavior related data support, tax after implementation of market changes will not be able to get accurate forecast. If before the 2017 form a unified tax policy, time is very nervous. Any hasty legislation or a resolution is very risky."

 

The member states have different positions. Although some countries to support integration, some member states had no intention of a tax on electronic cigarettes.

 

Electronic cigarettes web Tim phillips, head of a think: "compared with the traditional combustion model of tobacco products, electronic cigarettes more price elasticity, and should be treated with caution. Research has shown that with the price of electronic cigarettes liquid, market demand has fallen dramatically."

 

The Italian government since January 2014, the electronic cigarette levying the tax rate of 58.5%, the rapid expansion of the market, the original immediately. As a result, in 2015, compared with 85 million euros in revenues expected, electronic cigarettes bring Italy only 5.2 million euros in taxes. Opal lend according to the data of the negative impact of tax on electronic cigarettes.

 

Opal that electronic cigarette is still in its infancy, the scale is small, the regulators on the eu integration of electronic cigarette tax should be cautious. Opal, said governments to unified tax on the starting point and the position of the emerging products should be good, but it must be realized that the motive of supporting this position only have two: the first is to increase fiscal revenue. But since the size is small, the product is still in the stage of development. The second is the European regional differences caused by the uncertainty. Practice has proved that in the integration of traditional tobacco tax does not bring the consistency of the price. On the contrary, compared with the measures taken by the eu for the first time a tax on tobacco is now more price difference. As a result, the two reasons are not sufficient.

 

Opal further analysis way: "we must have the reasonable structure of consumption tax and tax rates. In order to encourage the new product innovation, the initial phase of tax rate shall be as low as possible. A specific tax over the total nicotine can be said to be an efficient way, this system not only depends on the level of consumption, also can reduce the cost of electronic cigarette manufacturers and importers."