The Croatian Government has announced an increase in excise duties on various tobacco products and will introduce a new tax on e-cigarette liquids, effective July 1, 2025, following a year-long pause on such hikes. A draft regulation detailing these changes is currently in public consultation.
Under the proposal, the specific excise duty on traditional cigarettes will rise from €53.10 to €56.10 per 1,000 units, with the minimum excise increasing to €124.20 per 1,000 cigarettes; the 34% proportional excise remains unchanged. Taxes on fine-cut tobacco, cigars, and cigarillos will increase to €120.50 per kilogram (or per 1,000 units). Heated tobacco products will see their excise rise from €185.82 to €198.50 per kilogram, and "new tobacco products" will also be taxed at the higher €120.50 per kilogram rate.
Significantly, e-liquids for electronic cigarettes (vapes), previously untaxed despite being classified under excise regulations, will now face a duty of €0.20 per milliliter. The government projects these changes will generate an additional €74.7 million in state revenue, citing tobacco excise as a reliable income source, while also aiming for public health benefits through reduced consumption.
