State could return 10% of excise taxes on fuel starting tomorrow

Serbian President Aleksandar Vucic said that he expected a decision to be made to return 10% of excise taxes that the state waived.

I expect a decision to be made to return the 10% of excise taxes that we waive, so that the price of oil can go down, said Serbian President Aleksandar Vucic.

He said that the first “consequence” of the peace was a drop in the price of Brent oil.

Vucic said that the state could reduce the scope of relief it provided at that moment through the reduction of excise taxes on fuel starting the next day, if oil prices continued to fall in the world market.

He stated that the price of Brent oil had fallen to around USD 78 per barrel that day, and added that he expected it could create space for a gradual return of excise taxes to the previous level.

Brent drops to USD 78

– It won’t be that simple, but I hope so. As a first consequence, you could see that Brent oil fell to USD 78 today, which is not immediately visible in the quotations, because there is always a certain amount of caution and suspicion in the market for some time – said Vucic.

According to him, the state is closely monitoring developments in the world energy market in order to adjust its policy towards excise taxes.

Possible return of part of excise taxes tomorrow

The President announced that a decision could be made as early as Friday to reduce the relief that the state provided through the waiver of part of excise revenues.

– I expect that we will make a decision tomorrow to return 10% of excise taxes, or that the state will no longer waive 20% of excise taxes, but only 10% – said Vucic.

As he explained, the goal is to simultaneously ease the position of citizens, but also improve budget revenues.

– For the price of oil to go down at least a little. And to make things easier for people, but also to make things easier for the state – stated the President.

Possible complete abolition of exemptions next week

Vucic added that, if the trend of falling oil prices continued, the temporary reductions in excise duties could be completely abolished the next week.

– So, we will see if next week we can completely abolish the fact that the state waived part of the excise duties, and I believe that the price of oil will not go up again – said Vucic.

In previous years, the state has temporarily reduced excise duties on fuel several times in order to mitigate the consequences of large fluctuations in oil prices on the world market and protect citizens and the economy from sudden price increases.

Predsedništvo Republike Srbije

president of Serbia

Aleksandar Vučić

excise taxes on fuel

oil price drop