Portugal to Tax Nicotine Pouches from 2026 at €0.065 per Gram

Key Highlights

• From 2026, nicotine pouches fall under IEC taxation.
• Article 104-D sets a €0.065/g specific duty.
• Gram-based assessment with rounding to whole grams.
• Definition: natural nicotine ≤12 mg, no tobacco, oral use.
• Lusa: tobacco excise €1.676B; combined taxes €1.993B.

2Firsts, October 30, 2025 — According to Público, Portugal’s 2026 State Budget (OE 2026) places nicotine pouches within the Special Consumption Tax (IEC) framework by adding Article 104-D to the Excise Code (Código dos Impostos Especiais de Consumo) tobacco chapter.

The proposal states that pouches are subject to a specific duty, with grams as the taxable unit and a first-year rate of €0.065 per gram. It also establishes rounding rules so that fractional package weights are rounded to the nearest whole gram (≥0.5 up; otherwise down).

For IEC coding, the Budget defines nicotine pouches as:

“A product containing natural nicotine, individually packaged in sachets or other unit devices, containing up to 12 mg of nicotine and no form of tobacco, intended to be placed in the oral cavity, releasing nicotine absorbed by the mucosa.”

The article notes rising popularity among younger consumers across Europe, including Portugal, while Infarmed had not formally authorized their introduction as of June. The WHO and experts have expressed concerns. Adding pouches to the IEC implies the Government does not prohibit their commercialization in Portugal.

According to Lusa, tobacco excise revenue is projected at €1.676 billion in 2026 (+€72M; +4.4% vs 2025). IABA (alcohol and sugary drinks) is expected to raise €317 million (+2.5%). Combined, tobacco, alcohol and sugary drink taxes total about €1.993 billion.

Article 104.º-D (original text):

Bolsas de nicotina

 

1 – O imposto incidente sobre as bolsas de nicotina reveste a forma específica, sendo a unidade tributável o grama.

2 – A taxa do imposto é de 0,065 (euro) /g.

3 – Para efeitos de determinação do imposto aplicável, caso o peso das embalagens individuais, expresso em gramas, constitua um número decimal, esse peso é arredondado:

a) Por excesso, para o número inteiro imediatamente superior, quando o algarismo da primeira casa decimal for igual ou superior a cinco;

b) Por defeito, para o número inteiro imediatamente inferior, nos restantes casos.

Image source: Público / Lusa