There have been significant changes to the law relating to taxes on cigarettes, e-cigarettes and other tobacco products. E-cigarettes and tobacco heaters are now facing heavier taxes, as are conventional cigarettes, cigars and cigarillos.
If you require legal advice or assistance regarding tax issues relating to cigarettes, e-cigarettes and other related products, the lawyers at Schlun & Elseven Rechtsanwälte are here to help you. For specialist assistance from our legal experts, please do not hesitate to contact our team directly.
Changes to German Tobacco Tax Laws
The German government recently adapted tobacco duties, and made them more applicable to changes in the tobacco market – namely by increasing taxes on e-cigarettes and heated tobacco products. Although the changes have been criticised by those who believe German consumers will seek cigarettes from outside German borders, they were introduced with the aim of improving public health. Moreover, there is a view that taxing e-cigarettes and their liquids will lead to people moving back to regular cigarettes.
The Tobacco Tax Modernisation Act will introduce changes to tobacco tax and will include a 4-stage tax increase over the five years between 2022 and 2026. With the new law, cigarettes, fine-cut tobacco, cigars/cigarillos and classic pipe tobacco will all experience tax increases and Water pipe tobacco will be taxed at the same rate as the tax for cigarettes from 1 January 2022. As stated above, e-cigarettes and their liquids (tobacco product substitutes are also be subject to the tobacco tax. Under the law, vaping consumables such as bases (propylene glycol, glycerine), nicotine and flavourings are also to be taxed.
The tax increases will take place over several steps, with tobaccos tax increases for cigarettes, fine-cut tobacco, water pipe tobacco and heated tobacco occurring on the 01. January 2022, 2023, 2025 and 2026. In contrast, the tax increases for e-cigarettes take place on 01. July 2022, 2024, 2025 and 2026. With these tax increases, the German government expects to raise a total of € 14.5 billion in additional revenue.
Such changes may have brought you difficulties with German law, whether on a professional or personal level, and at Schlun & Elseven Rechtsanwälte, our team is available to advise you.
Customs Law: Seizures of Cigarettes and Tobacco-Products
If you have had tobacco-related products seized by German customs officials, you need to consider professional legal assistance. Cigarette smuggling can be viewed as tax fraud by courts, and this is a serious charge resulting in prison sentences and fines. Tax fraud cases often consider mitigating and aggravating factors when determining whether to sentence someone found guilty of the offence. Having an experienced criminal defense lawyer in your corner can prove invaluable in deciding how best to proceed with such cases.
Our lawyers are available to advise clients on customs seizures of cigarettes, accusations of smuggling and appealing customs decisions. Cigarette smuggling charges can arise without a person being fully aware of customs laws and can be a stressful ordeal for those involved. By working with Schlun & Elseven, you can be assured that we will thoroughly analyse your case and determine how best to approach the situation based on the facts before us.
German Law and Cigarettes/Tobacco Products – Advertising and Information
Germany also has strong laws relating to tobacco advertising, as it is banned on TV, radio, internet, and in most print publications and most outdoor locations. There are means of advertising in the form of flyers and posters which are not prohibited. Similarly, other promotional activity is allowed but there are restrictions relating to tobacco sponsorship.
When selling cigarettes and tobacco, the combined picture and text health warnings need to take most of the package to comply with regulations. Should the packaging contain misleading advertising, there can be strong legal consequences. German law also requires manufacturers and importers to disclose information relating to the contents and emissions of their products to the government authorities responsible.
At Schlun & Elseven Rechtsanwälte, our firm provides full-service legal assistance to manufacturers and importers in such disputes. Our team consists of legal experts with experience in customs law, advertising law and more. If you require our legal counsel, please get in contact with us directly.
Practice Group: German Tax Law
Practice Group:
German Tax Law
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