Tax revenue from electronic cigarettes

26.4.2013

Question for written answer E-004672-13
to the Council
Rule 117
Giancarlo Scottà (EFD)

I wish to put a question to the Council regarding an issue which has recently been attracting a great deal of interest, but which has never been addressed from the point of view set out below.

I am referring to ‘electronic cigarettes’, devices considered to be ‘nicotine-containing products’ which therefore fall within Article 18 of the proposal for a directive of the European Parliament and of the Council on the approximation of the laws, regulations and administrative provisions of the Member States concerning the manufacture, presentation and sale of tobacco and related products (COM(2012)0788 — 2012/0366 (COD)).

The consumption of traditional cigarettes provides the Member States with sizeable revenues, as a result of the substantial taxes to which they are subject.

According to a recent report by ANSA (Italian news agency) of 21 April 2013, in the first two months of 2013 alone, Italy’s coffers registered a loss of EUR 132 million, corresponding to a fall in revenue from duty on tobacco of approximately 7.6%. Of course, this shortfall cannot be completely blamed on the increasing use of electronic cigarettes, but it is certainly partly responsible.

In light of the above, can the Council state what action it intends to take to address the differences in tax revenue materialising in State coffers following the proliferation of electronic cigarettes, which currently appear to be free from any form of duty?

OJ C 35 E, 06/02/2014