tobacco taxation tagged posts

Vaping To Be Taxed More in Indonesia

January 13, 2018 Taxation in Indonesia

VapingJAKARTA – Vaping may make way for smoking in Indonesia, if consumers find tax burdens too high.

According to a new announcement from the government of Indonesia, the sale of e-cigarettes in the country will now be subject a significant new tax.

From July 1st 2018 e-cigarettes sold in Indonesia will face a tax of 57 percent.

Supporters of e-cigarettes, or vapes, have claimed that the rate of the tax is too high, and that the new measure will reduce demand for the tobacco alternative.

It has even been claimed that the relative increase in the price of the e-cigarettes will lead to a greater uptake of traditional tobacco products.

However, Heru Pambudi, the head of Customs of Indonesia, has said that the government fully considered the impact of the tax before making the decision to enact th...

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Cigarette Taxes Hiked in NZ

January 5, 2018 Taxation in New Zealand

Cigarette taxes in NZWELLINGTON – The prices of cigarettes in New Zealand have risen by 60 percent since 2012, and the trend is not set to stop anytime soon.

On January 1st the price of cigarettes in New Zealand rose, as another tranche of tax hikes hit tobacco products sold in the country.

The new hike raised the tax levied on the sale of tobacco products by 10 percent.

The tax hike is not an isolated measure, but the second round of four planned annual tax hikes.

It is estimated that following the tax hike, the price of an average pack of cigarettes will now be between NZD 27 and NZD 30 per pack.

The New Zealand Treasury believes that the 10 percent increase in the tax rate will lead to a reduction in tobacco consumption levels of up to 5 percent, and a subsequent 2...

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South Korea to Tax Vapes

October 31, 2017 Taxation in South Korea

Vape taxSEOUL – E-cigarettes and other cessation devices may soon be taxed the same as cigarettes in Korea.

The government of South Korea is mulling a change in tax legislation which could see a significant spike in the price of-cigarettes.

In November this year, lawmakers are expected to vote on a bill to enact a 90 percent tax on the sale of e-cigarettes and heat-not-burn cigarettes.

The tax will roughly match the tax treatment of regular cigarettes and tobacco products.

If the measure is approved, it could come into effect as early as December this year.

E-cigarettes have proved to be highly popular in South Korea, with imports of e-liquids rising from 12 tons in 2015 to 61 tons in the first eight months of 2017.

Some industry experts noted that over the last few years, the government has e...

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Cigarette Taxes Lead to Robberies

August 8, 2017 Taxation in New Zealand

taxes on cigarettesWELLINGTON – The spike in break-ins in New Zealand has been linked to taxes on cigarettes, and the situation does not look set to improve.

British American Tobacco has suggested that the steady increases in the taxes charged on the sale of cigarettes in New Zealand could be the reason behind the recent spike in robberies around the country.

Currently, approximately 75 percent of the cost of cigarettes in New Zealand is comprised of taxes, with the average cost of a pack of 20 sitting at NZD 23.40.

Only 5 years ago the average price was approximately NZD 14.50.

The 60 percent increase has been blamed for the recent spike in robberies and break-ins, especially in cases where small corner stores were the victims.

New Zealand has raised taxes on cigarettes by 10 percent per year for the las...

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NZ Researchers Say Double Tax Hikes on Cigarettes

August 2, 2017 Taxation in New Zealand

Smokefree NZWELLINGTON – New Zealand needs to double-down on its fight against smoking, if it wants to reach its goal of a smoke-free nation.

The result of joint research conducted by the University of Otago in New Zealand and the health advocacy group H?pai te Hauora have led to a push for a doubling of the tax hikes on tobacco products sold in New Zealand.

Currently, the tax rate on tobacco in New Zealand is scheduled to be increased by 10 percent per year on January 1st, until 2020.

The hikes are part of the government’s “Smokefree 2025” strategy, which is intended to see a reduction in smoking rates in the country, to the point where less than 5 percent of New Zealanders are smokers by 2025.

The researchers are now claiming that in order to meet the goal, the government will need to incre...

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