Excise duty imposed on modern cigarette substitutes in Poland

From the beginning of 2023, products containing herbs or dried hemp intended for vaporization will be subject to excise duty in Poland. The same applies to glycerin or glycol solutions, which are apparently sold as fireplace inserts or air fresheners, although they are used in e-cigarettes.

The changes are envisaged in the already published draft amendment to the Excise Duty Act and certain other acts. The amendments assume, inter alia, entry into force of the obligation to keep electronic excise records and documentation a year later than planned, i.e. on January 1, 2024. Changes to the definition of e-cigarette fluid and innovative products were not announced in the list of legislative works.

The first of the changes provides for the amendment of the definition of innovative products. Pursuant to Art. 2 point 36 of the Excise Duty Act (i.e. Journal of Laws of 2022, item 143, as amended), these are mixtures containing tobacco or dried tobacco (including those containing separately liquid for electronic cigarettes), other than traditional tobacco products. They have to deliver the aerosol without burning the mixture. In order to be able to levy a tax on a novel product, it must therefore contain tobacco or raw tobacco.

Under the current regulations in Poland, taxed innovative product is not considered, for example, mixture of herbs or dried hemp which, when heated, provides the user with active chemicals or aromas.