Cyprus Tweaks Product Definitions in Amended EU Tobacco Tax Bill

A new version of the EU’s tobacco tax overhaul specifies the definitions of water pipe tobacco and heated tobacco, which could impact the rate at which they are taxed.

The draft, seen by Bloomberg and dated March 17, explained that for EU countries “a clearer distinction between cigarettes and HTP was essential,” referring to heated tobacco products.

Cyprus, which currently holds the EU’s rotating presidency and is tasked with shepherding bills through the EU’s legislative process, wrote the draft and hopes to finalize the bill by June, according to people familiar with the matter.

EU tax bills require unanimity ...