Amendments to the Excise Duties Law: introduction of excise duty on nicotine pouches as of 2026
By the Law on Amendments to the Excise Duties Law, the application of which begins on 1 January 2026, significant changes have been introduced to the excise system of Montenegro. These amendments introduce a new excise product – nicotine pouches, while herbal products for smoking have been excluded from the category of “new tobacco products” and are now taxed separately.
New excise products and excise duty rates
Starting from 1 January 2026, excise duty is calculated as follows:
- nicotine pouches – excise duty amounts to EUR 60 per kilogram
- herbal products for smoking – excise duty amounts to EUR 60 per kilogram
The excise base for both products is one kilogram, regardless of the form of packaging or the manner in which they are placed on the market.
The law also specifies technical conditions for the placing on the market of nicotine pouches. In accordance with Article 49b of the Law, individual packaging may contain a maximum of 20 pouches, while each pouch may contain a maximum of 17 mg of nicotine.
Who are the excise taxpayers
The obligation to calculate and pay excise duty applies to:
- importers of nicotine pouches and herbal products for smoking into the customs territory of Montenegro;
- manufacturers who produce and place these products on the market within the territory of Montenegro.
In the case of import, excise duty is calculated and paid as an import duty, in accordance with the Excise Duties Law.
Calculation and payment of excise duty
Monthly calculation of excise duty is carried out through the information system for electronic exchange of excise data, in accordance with the instructions published on the Customs Administration portal https://ecarina.me/. The calculated excise duty becomes due for payment on the last day of the tax period and must be paid within 15 days from the date it becomes due.
Special attention is paid to obligations in the event of a change in the excise duty rate. Manufacturers, importers, and wholesale traders who hold inventories of these products are required to:
- conduct an inventory count one day before the start of application of the new excise duty rate;
- calculate and pay the excise duty, or the difference in excise duty.
Retail traders are not required to conduct an inventory count in this case.
The calculation of the excise duty difference must be submitted electronically to the competent organisational unit of the Customs Administration no later than 15 days after the end of the month in which the change occurred, i.e. by 15 February 2026.
Misdemeanour sanctions
The law provides for strict sanctions for non-compliance with these obligations. If the inventory count is not carried out or excise duty is not calculated and paid, the following fines are prescribed:
- for legal entities: from EUR 2,000 to EUR 20,000;
- for responsible persons within a legal entity: from EUR 500 to EUR 1,000;
- for entrepreneurs: from EUR 1,000 to EUR 6,000;
- for natural persons: from EUR 250 to EUR 1,000.
By introducing excise duty on nicotine pouches and more clearly defining the tax treatment of herbal products for smoking, the legislator further specifies the obligations of excise taxpayers. Timely alignment of business operations and fulfilment of obligations related to inventory, calculation, and payment of excise duty will be crucial for avoiding misdemeanour sanctions as of 2026.
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