The new draft sets the excise on beer with an alcohol content of up to 8.6% at 35 rubles per liter, on still wine at 158 rubles, and on spirits at 878 rubles, a source told Interfax. The increase will range from 6% to 6.8% and will exceed previously approved limits. Tobacco rates will be indexed by roughly the same amount.
The authorities are revising the 2027 rates for the second time, The Bell reported, citing a source familiar with the draft amendments to the Tax Code. In the fall of 2024, the rates were set at 32 rubles per liter for beer and 801 rubles per liter of anhydrous alcohol for spirits. A year ago the figures were raised to 34 and 857 rubles.
The Moscow Times links the accelerated rise in excise taxes to the federal budget deficit. According to the outlet, up to half of all budget spending goes to the war in Ukraine, and the deficit could reach about 7 trillion rubles by the end of the year. The Tax Code changes are part of a series of tax amendments that also include raising the personal income tax on passive income to 13-22%.
The alcohol market is meanwhile contracting. In January-August, vodka production fell by 12.1%, cognac by 16.8% and beer by 6.2%, according to Rosalkogoltabakkontrol data cited by Izvestia. The average price of a liter of vodka rose 15% year-on-year in July to 981 rubles, while beer rose 11% to 217 rubles, according to calculations by Gazprombank's Center for Economic Forecasting.
Buyers are moving into categories with lower excise taxes, such as ciders, which look and are sold like sparkling wine, the authors of the calculations note. The Bell points out that the excise on vodka and cognac will ultimately rise by 37% over three years, and on still wine by 40% over two years.
Interfax removed its news item about the increase in excise taxes on beer and wine from its website after publication, TV Rain reported. Other outlets, including Kommersant, managed to pick up the information citing the agency. A note about the increase in tobacco excise taxes remains on Interfax's website.