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Latvian Saeima increases excise tax for sweetened non-alcoholic beverages

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Saeima, excise tax, amendments, sugarFrom 2022 onward it is planned to apply increased excise tax rate on sweetened non-alcoholic beverages, as provided by amendments to the Law on Excise Duties approved by the Saeima in the last reading on Thursday, 6 February.

The approved amendments state that the tax rate is to be set at 7.4 euros per 100 l if the amount of sugar is up to 8 g per 100 ml. If the amount of sugar exceeds 8 g per 100 ml, the tax rate is to be set at 14 euros per 100 litres, as reported by Saeima’s press-service.

As for sweetened non-alcoholic beverages containing other sweeteners, the excise tax rate will remain unchanged – 7.4 euros per 100 l.

Law amendments were initiated to urge residents to reduce consumption of sugar-containing beverages, because unhealthy diet with large amounts of sugar, salt and saturated fats is one of the main risk factors that promote chronic health problems, authors of the proposal say.

Law amendments therefore urge the government to prepare and submit by 2024 a report for the Saeima on the effect tax changes will have had on beverage manufacturers, as well as submit a report on the effect sweeteners manufacturers use to replace sugar in beverages on human health.

Read also: Hospital: 1st type sugar diabetes is diagnosed too late for children in Latvia

During review of aforementioned amendments Finance Ministry’s representatives stressed that any changes to tax rates should be viewed in the context with the country’s tax policy. It was also stressed that by increasing the tax rate for sweetened drinks it will make it higher than the tax rate for certain alcoholic beverages, such as beer.


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