Politics · Germany · 4 hrs ago

Bundestag votes to correct early start of German tobacco tax increase

Bundestag votes to correct early start of German tobacco tax increase

Germany’s Bundestag voted to correct a tobacco tax law after a drafting error made it take effect too early.

The law was published on October 20, which meant a higher tax rate applied on paper immediately.

It was the higher rate planned for 2030, rather than the lower increase intended to begin in 2027.

The Finance Ministry said the error had not changed the tax payments actually made, but wanted it corrected retroactively.

Under the plan, tax increases will raise the average cigarette pack price by nearly four euros by 2030, to just under 12 euros.

The correction is part of a wider change to how sales tax revenue is shared between Germany’s federal and state governments.

The Bundesrat must still approve the correction before it becomes final.

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Bundestag budget committee reportReport on the correction
eine unklare Rechtslage
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technischer Fehler
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