In Lithuania, in 2022, the minimum wage will increase, as will the rates of excise duty on tobacco products and alcoholic beverages, reports Lithuanian public broadcaster LRT.
In the new year, the minimum monthly wage before tax will drop from 642 euros (468 euros after tax) to 730 euros (almost 534 euros after tax). The hourly minimum wage before taxes will drop from 3.93 euros to 4.47 euros. LRT assessed this to be one of the biggest minimum wage increases in Lithuania in a decade. It will affect around 127,000 workers earning minimum wage or less.
Excise tax changes
Lithuanian excise duty rates on beer, wine, ethyl alcohol and various types of cigarettes and tobacco products, including e-cigarette liquids, will increase from January 1, 2022.
Due to the higher excise rates, the price of a pack of cigarettes will increase by 17 cents, while a pack of tobacco is expected to increase by 27 euro cents.
A half-liter can of beer will cost two cents more, a half-liter can of spirits – 32 cents more and 500 milliliters of wine or other fermented drinks above 8.5% ABV – ten cents more.
The price of craft beer is expected to drop slightly as small breweries will be subject to a 50% lower excise duty per 10,000 hectoliters of beer produced annually.
Lithuanian excise duties on all other beers will increase by around ten percent from 2022, while excise duties on wine and other fermented beverages up to 8.5% ABV will increase by around 19%.
The article was originally published on LRT in English: https://www.lrt.lt/en/news-in-english/19/1572306/who-will-be-affected-most-major-financial-changes- in-lithuania- in-2022