The government has decided to reduce excise tax on fuel by CZK 1,5 per litre for both petrol and diesel. The excise tax on a litre of petrol should therefore be reduced from CZK 12.84 to CZK 11.34 and on diesel from CZK 9.95 to CZK 8.45. This is another measure to help all hauliers and citizens cope with the increase in fuel prices due to the war in Ukraine. The government has been called upon to reduce excise tax for some time, especially by hauliers, who believe that the existing measures have not been sufficient. However, for the reduction in excise tax to lead to a reduction in fuel prices, diesel and petrol suppliers need to actually lower their prices by this reduction. To ensure this effect, the government is considering setting maximum margins for suppliers.

The amendment to reduce excise tax has been submitted to the Chamber of Deputies. If the MPs approve it, it will be forwarded to the Senate and the President. According to the Finance Minister, the excise tax reduction will be effective from 1 June to 30 September 2022.
 
Author: Lukáš Pflug