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Slovenia Business Week no. 37: Amendments to Excise Duties Act Passed

Parliament has passed amendments to the excise duties act which introduce different excise duties on electricity for households and commercial use and reduce administrative barriers on the electricity market

Parliament has passed amendments to the excise duties act which introduce different excise duties on electricity for households and commercial use and reduce administrative barriers on the electricity market.

Having endorsed the measure by 45 votes against 18 on Thursday, 16 November, the deputies brought Slovenia's legislation on excise duties fully into line with EU regulations.

According to State Secretary Andrej Sircelj, who is in charge of tax policy, the amended act reduces the excise duty on commercial use of electricity.

Moreover, Sircelj told MPs that all companies dealing in biofuels would now operate under the same conditions, while excise duties would only be paid by those suppliers and producers who provide electricity to end users.

The 2004 excise duties act stipulates that the excise duty for electricity is set at one euro per megawatt hour as of 1 January 2007, regardless of whether the power is used by households or for commercial purposes.

The newly-passed changes retain the excise duty of one euro for non-commercial use, while reducing the excise duty for commercial use to EUR 0.5. This is in line with the relevant EU directive.

The amendments also increase excise duties on tobacco products, in particular cigarettes, so that the tax on cigarettes would be on a par with the European legislation as of next year. Under the EU regulation, the minimal taxation is EUR 64 per 1,000 cigarettes.

Source: Slovenian Press Agency STA

Author: STA, Slovenian National Press Agency