Lithuania to raise tax on amber to 20 percent of market value

The Cabinet on Wednesday endorsed amendments to the Law on Tax on State Natural Resources. It was said during the meeting that the higher tax would amount to around 20 percent of the market value of amber. The tax rate in the EU ranges between 15 and 25 percent.

The proposal is to increase the tax rate on extracted amber from 20.2 euros to 280 euros per kilogram of amber pieces of up to 40 millimetres and 900 euros per kilogram of pieces of over 40 millimetres.

The Environment Ministry says that when the new tax rates are approved, estimated 41 million euros in total revenues could be raised from the tax on amber extracted from the Juodkrantė deposit.

If approved by parliament, the amendments will come into force in early 2016.