Council Decision (EU) 2023/2538 of 9 November 2023 on the position to be taken on behalf of the European Union within the Association Council established by the Association Agreement between the European Union and the European Atomic Energy Community and their Member States, of the one part, and Georgia, of the other part, as regards the amendment of Annex XXII to that Agreement

• CELEX: Decision (EU) 2023/2538
• Articles: 5

Article 1

The position to be taken on the Union’s behalf within the Association Council established by the Association Agreement between the European Union and the European Atomic Energy Community and their Member States, of the one part, and Georgia, of the other part, as regards the amendment of Annex XXII to that Agreement, shall be based on the draft decision of the Association Council attached to this Decision.

Article 1

In accordance with Annex XXII to the Association Agreement between the European Union and the European Atomic Energy Community and their Member States, of the one part, and Georgia, of the other part (the ‘Agreement’) and Council Directive 2011/64/EU  ( 2 ) , by the end of 2026 the overall excise duty, which is to consist of a specific component of between 7,5 % and 76,5 % of the total tax burden, expressed as a fixed amount per 1 000 cigarettes, and an ad valorem component, expressed as a percentage of the maximum retail selling price, in Georgia shall not be less than EUR 90 per 1 000 cigarettes and less than 60 % of the weighted average retail price. Georgia shall ensure the target rate of the excise duty through gradual increase until 2026.

Article 2

This Decision shall enter into force on the date of its adoption.

Article 2

In accordance with Annex XXII to the Agreement and Directive 2011/64/EU, by the end of 2026 the overall excise duty, which is to consist of specific duty and ad valorem duty as appropriate, in Georgia shall not be less than:

(i)

5 % of the retail selling price or EUR 12 per 1 000 items or per kilogram for cigars and cigarillos;

(ii)

50 % of the weighted average retail selling price or EUR 60 per kilogram for fine-cut smoking tobacco intended for rolling of cigarettes; and

(iii)

20 % of the retail selling price or EUR 22 per kilogram for other smoking tobacco.

Georgia shall ensure the target rates of the excise duty referred to in the first paragraph through gradual increase until 2026.

Article 3

This Decision shall enter into force on the date of its adoption.