The Seimas (parliament) passed the respective amendments to the Law on Excise Duties on Thursday, by a vote of 61 to two, with 18 abstentions.
It is estimated that the retail price of a pack of cigarettes may rise by around 30 Lithuanian centas (8.7 euro cents) on average and the price of diesel fuel may go up by some 12 centas. However, actual price changes will depend on oil and oil product price trends in the global market, pricing policies and other factors.
The tobacco excise tax hike next year is expected to bring around 19 million litas in extra revenue into the state's coffers. Another 94 million litas or so should come in as a result of the increase in the diesel fuel excise tax.
The authorities say that Lithuania must raise its taxes in order to comply with EU minimum excise requirements.
The Finance Ministry says that despite the hike, Lithuania's excise tax on diesel fuel will remain among the lowest in the EU.
