Iceland expects 28 billion krona in alcohol-tax revenue

Iceland expects to collect 28 billion krona in alcohol duties next year, according to the 2027 budget proposal presented in the morning. Revenue from tobacco and nicotine duties is projected at 9 billion krona.

The proposal assumes that alcohol, tobacco and nicotine duties will increase by 5.2%. It says next year’s revenue will depend on assumptions about private consumption and inflation in the updated economic forecast.

Alcohol-duty revenue has declined slightly as a share of private consumption in recent years, the budget document says.