The eExcise Project is a digital solution aimed at tackling the shadow market of tobacco and alcohol. In 2023, Ukraine faced a substantial loss of more than 30 billion hryvnias due to unpaid taxes on these goods.
Our goal is to create a user-friendly information and communication system to track the journey of alcohol and tobacco from the producer or importer to the final consumer with the help of electronic excise stamps.
eExcise Project is a comprehensive digital reform that will enable more effective tackling of excisable products black market and lead to increased budget revenues from excise taxes.
еExcise website does not promote, endorse or recommend the use of any tobacco or alcohol products. Consumption of alcoholic beverages and tobacco products may pose health risks.
The image of the electronic excise stamp and the DataMatrix code is for illustrative purposes only.
Replace paper excise tax stamps with electronic ones.
Generate unique codes for the electronic stamps, preventing counterfeiting.
Track the journey of alcohol and tobacco products, including e-cigarette liquids, from production to purchase.
Allow citizens to independently verify the product legality and origin from their gadgets using the Diia app and report any violations.
The eExcise system utilizes the DataMatrix code, a compact yet robust electronic stamp, for product tracking. DataMatrix code is uniquely durable, maintaining readability even if up to 30% damaged Scanning this code at various stages of product journey, from production to sale, enables the tracking of product movement.
On June 29, 2023, Ukraine adopted the law "On eExcise No. 3173-IX," which brings the country one step closer to the European Union, as it complies with all the key requirements of the European directives against the illegal sale of tobacco.
A similar system, "Tobacco Track & Trace," has been operating in the EU since 2019. In the first year alone, it detected 600 million illegal cigarettes translating to €4 billion in economic benefits. The Ukrainian eExcise mirrors this system.
Adoption of the eExcise Law No. 3173-IX
Technical requirements development and approval
Legislative acts development for the eExcise system functioning
Legislative proposals alignment with business and government authorities
Legislative acts adoption
Tender for system development
Launch in test mode with an unlimited circle of participants
Official launch of the system
Test period with reduced penalties to 10-30%
(until the end of 2026)
Equal competitive conditions for business operations and profit growth due to a reduction in the share of the shadow market.
Automation of reporting processes regarding the use of excise stamps.
Safeguard your products from counterfeiting.
Issuing excise stamps without visits to the tax authorities and paper bureaucracy.
High-quality data and interactive sales maps to drive marketing analytics.
Growth in budget revenues from excise tax payments.
Restriction of channels for the sale of illegal products.
Systematic control of the circulation of excisable goods.
Harmonization of legislation with European requirements for the circulation of tobacco products.
Quality analytics and improvement of the accounting system for excisable alcohol and tobacco.
Electronic tracking of the product life cycle from applying the DataMatrix code to the point of sale.
Effective tool for public control of the consumption of legal products via the Diia app.
The possibility of swift online reporting to authorities upon detecting counterfeit products.
Formation of a societal culture of responsible consumption.
Quality legal products from manufacturers, minimizing the risks of purchasing "gray" products.
Law of Ukraine No. 3173-IX "On Amendments to the Tax Code of Ukraine, and Other Laws of Ukraine in Connection with the Introduction of Electronic Tracing of the Circulation of Alcoholic Beverages, Tobacco Products, and Liquids Used in Electronic Cigarettes"
More detailsLaw of Ukraine 3817-IX"On State Regulation of the Production and Circulation of Ethyl Alcohol, Alcohol Distillates, Bioethanol, Alcoholic Beverages, Tobacco Products, Tobacco Raw Materials, Liquids Used in Electronic Cigarettes, and Fuel"
More detailsResolution of the Cabinet of Ministers of Ukraine "Some Issues of the Creation and Functioning of the Electronic System for the Circulation of Alcoholic Beverages, Tobacco Products, and Liquids Used in Electronic Cigarettes"
More detailsProcedure for the Creation and Functioning of the Electronic System for the Circulation of Alcoholic Beverages, Tobacco Products, and Liquids Used in Electronic Cigarettes
More detailsProcedure for Forming the Extracts from the Electronic System for the Circulation of Alcoholic Beverages, Tobacco Products, and Liquids Used in Electronic Cigarettes. Forms of Extracts from the Electronic System for the Circulation of Alcoholic Beverages, Tobacco Products, and Liquids Used in Electronic Cigarettes
More detailsResolution of the Cabinet of Ministers of Ukraine "On Establishing the Procedure and Forms of Compiling the Excise Electronic Document"
More detailsResolution of the Cabinet of Ministers of Ukraine "On Approval of the Procedure for Calculating the Amounts of Excise Tax to be Paid by Economic Operators – Producers/Importers for Generated Unique Identifiers"
More detailsDraft Resolution of the Cabinet of Ministers of Ukraine "On Technical Requirements (Standards) for the Protective Element"
Resolution of the Cabinet of Ministers of Ukraine "On Establishing Requirements for the Algorithm and Criteria for Forming a Unique Group Identifier"
More detailsResolution of the Cabinet of Ministers of Ukraine "On Approving the Technical Requirements (Standards) for the Security Element Designed to Prevent Unauthorized Access to Individual Packs of Tobacco Products"
More detailsApplication for Granting Access to Business Entities Engaged in the Production, Import, Wholesale, and/or Retail Trade of Goods (Products) Marked with Graphic Elements of Electronic Excise Tax Stamps, Who Wish to Participate in Testing the Functionality of the Electronic System Software
DownloadProcedure for Granting Access to Business Entities Engaged in the Production, Import, Wholesale, and/or Retail Trade of Goods (Products) Marked with Graphic Elements of Electronic Excise Tax Stamps, Who Wish to Participate in Testing the Functionality of the Software, to the Electronic System
Download
General Functionality of the eExcise System
Registration of an Economic Operator
Offline Mode Operation
Unique Group Identifier (UGI)
Ordering and Activation of the Electronic Stamp
Excise Electronic Document (EED)
Generation of Extracts and Analytical Reports
eExcise Functionality for Importers
eExcise functionality for retail trade entities.
New Functionality of the eExcise Electronic System: Webinar 1
New Functionality of the eExcise Electronic System: Webinar 2
The law provides for the most lenient conditions for businesses to transition and adapt to the new rules. An open testing phase for all interested businesses is scheduled to begin in March 2025. Full implementation is slated for January 2026. Following the official launch, regulatory authorities will offer a grace period for compliance. Initially, penalties for violations may be limited to up to 10% of the standard fine for the first six months, increasing to 30% until December 31, 2026.
e-Excise is an electronic system that tracks the circulation of alcohol, tobacco products, and e-liquids — from the producer or importer to the point of sale.
Economic operators will order unique electronic stamps containing product details. This information is encoded in a DataMatrix — a modern two-dimensional barcode that replaces paper excise stamps and minimizes contact with tax authorities.
Once the product details are entered, the DataMatrix is applied, and the excise tax is paid, the electronic stamp is automatically activated. Each product unit can then be tracked from the producer all the way to the end consumer.
Citizens will be able to verify a product’s authenticity in just a few clicks: simply scan the electronic stamp via the Diia app or enter the stamp details on the e-Excise system website. If any discrepancies or doubts arise, they can immediately report a violation
The generation of unique identifiers, activation, deactivation, and redemption of electronic stamps are carried out by the software of the Electronic System for the Circulation of Alcoholic Beverages, Tobacco Products, and Liquids Used in Electronic Cigarettes on a free basis.
Economic operators must register in the e-Excise system. This includes businesses involved in the production within Ukraine’s customs territory, import or wholesale and retail trade of goods subject to marking.
Registration is completed by submitting an application for registration as an economic operator. Applications must be submitted exclusively online via the e-Excise system’s web interface and signed with a qualified electronic signature.
Send the completed and signed application to
inbox@xtrace.gov.ua
Need help?
support@thedigital.gov.ua
