The Polish Senate has passed the excise tax amendment without changes and the bill is now to be approved by the president, according to an October 30 report by Dlahandlu.
The amendment aims to adjust excise taxes on tobacco products, with an annual increase of 3.5 billion zlotys ($870 million) for the state budget.
The new regulations impose higher tax rates than originally planned. Przemysław Jaskóła, a board member at Fusion Labs and vice president of the Polish Vaping Association, said: “The adjustments proposed by the Ministry of Finance and passed by the Senate may have unintended consequences. The planned excise tax on e-liquids is set to increase by 327%, with potential new taxes on devices and even parts."
"This could make these products financially out of reach for many. Currently, users spend around 15 zlotys ($4) weekly on essential accessories, which could rise to 65 zlotys ($16), amounting to hundreds of zlotys in additional monthly costs. Many consumers who chose vaping as a smoke-free alternative may be unable to afford these increases.”
Jaskóła noted that these changes could drive demand for cheaper, untaxed products, with the grey market already accounting for about 50% of the e-cigarette market. According to the Polish Vaping Association, illegal products result in annual losses of 1 billion zlotys ($240 million) for the national budget.
“The new regulations will hit Poland’s legally operating small and medium-sized businesses hardest, pushing their customers towards the grey market, and may even force some manufacturers to exit the market. While tax increases are understandable, they should align with consumer purchasing power and account for the existing grey market. Otherwise, they risk reducing government revenue and exposing consumers to health risks from unregulated products.”
Under the revised bill, the excise tax rate on cigarettes will rise by 25% in 2025, 20% in 2026, and 15% in 2027. The excise tax on smoking tobacco will increase by 38% next year, 30% in 2026, and 22% in 2027.
Current rates remain in effect until February 28, 2025, with new rates set to apply from March 1 through December 31, 2025.
We welcome news tips, article submissions, interview requests, or comments on this piece.
Please contact us at info@2firsts.com, or reach out to Alan Zhao, CEO of 2Firsts, on LinkedIn
Notice
1. This article is intended solely for professional research purposes related to industry, technology, and policy. Any references to brands or products are made purely for objective description and do not constitute any form of endorsement, recommendation, or promotion by 2Firsts.
2. The use of nicotine-containing products — including, but not limited to, cigarettes, e-cigarettes, nicotine pouchand heated tobacco products — carries significant health risks. Users are responsible for complying with all applicable laws and regulations in their respective jurisdictions.
3. This article is not intended to serve as the basis for any investment decisions or financial advice. 2Firsts assumes no direct or indirect liability for any inaccuracies or errors in the content.
4. Access to this article is strictly prohibited for individuals below the legal age in their jurisdiction.
Copyright
This article is either an original work created by 2Firsts or a reproduction from third-party sources with proper attribution. All copyrights and usage rights belong to 2Firsts or the original content provider. Unauthorized reproduction, distribution, or any other form of unauthorized use by any individual or organization is strictly prohibited. Violators will be held legally accountable.
For copyright-related inquiries, please contact: info@2firsts.com
AI Assistance Disclaimer
This article may have been enhanced using AI tools to improve translation and editorial efficiency. However, due to technical limitations, inaccuracies may occur. Readers are encouraged to refer to the cited sources for the most accurate information.
We welcome any corrections or feedback. Please contact us at: info@2firsts.com
