The government should increase the tax rate on rollyourown tobacco product to reduce the number of smokers who turn to cheaper products because of high taxes on manufactured cigarettes, experts suggested. In the short term, the government should increase taxes for all tobacco products, Ayda Yurekli, a tax economist at the World Health Organisation, said yesterday at a seminar cohosted by the Excise Department of the Finance Ministry. She said an increase of current excise tax from Bt0.001 per gram to Bt0.01 per gram could lead to a tenfold increase in tax revenue. It would also increase retail prices by 4 per cent and decrease demand by 1.7 per cent. According to Excise Department estimates, 53.9 per cent of Thai smokers consume rollyourown products while 43.9 per cent smoke manufactured cigarettes. Yurekli also recommended … Read entire article »

A distributor of electronic cigarettes in New Zealand says they shouldn’t be classified as tobacco products. E-cigarettes are battery powered and give the illusion of smoking, but contain a cartridge which emits water vapour rather than smoke. The Ministry of Health has made recommendations relating to electronic cigarettes on the Smoke-free Environments Amendment Bill, which will be considered by Parliament. In its report, it says “as the e-cigarette delivers only nicotine in a mist… without the other 4,000 or so other chemicals in tobacco smoke, it is far safer than smoking.” Among its proposals, the Ministry says e-cigarettes that contain nicotine should be regulated as a tobacco-related product, rather than as a medicine. Currently only nicotine-free cartridges can be sold in New Zealand. The nicotine-containing cartridges are classed as medicines, but they cannot be regulated under … Read entire article »

Gov. Andrew Cuomo’s office said the state will immediately start collecting cigarette taxes on cigarettes bound for sale at Indian reservations.A federal appeals court ruled today that Indian tribes can’t halt New York state’s efforts to collect taxes on cigarettes sold by tribes. The three-judge panel ruled unanimously that the tribes have not proven that the state’s regulations put into place last summer would violate tribal sovereignty. The Oneida Indian Nation reacted to the decision by saying it will stop selling national brand cigarettes, but said in a statement they would continue to sell brands they manufacture themselves in Oneida. “We will continue to provide our customers with a selection of cigarette brands like Niagara’s, Bishop, Great Country and Cool Harbor as they are manufactured on the Oneida homelands and not subject … Read entire article »

Approximately $500,000 per day could be flowing into state coffers following a court ruling Monday in the ongoing battle over the state’s ability to collect taxes from cigarette sales made on Indian reservations, according to Attorney General Eric Schneiderman. “The decision closes an enormous tax-evasion loophole that was depriving New York of hundreds of millions of dollars in tax revenue,” said Schneiderman, following a federal Court of Appeals decision that vacates an injunction placed by lower courts forbidding the state from requiring the tribes to collect the taxes. In 2010, New York passed a law to exercise its right to collect taxes on cigarettes sold on reservations to non-tribal members, a move the tribes argue would infringe on their sovereign rights. “Today’s decision respects tribal rights and at the same time represents an … Read entire article »

Cigarette maker Imperial Tobacco ,said today that group sales growth was driven by a strong performance in emerging markets outside the EU, with tobacco net revenue up by 2.7% and adjusted operating profit up by 3.8%.Combined volumes of global cigarette brands Davidoff cigarettes , Gauloises Blondes cigarettes and West were up 5%, JPS cigarette volumes were up 16% and fine cut tobacco volumes rose 5%. Luxury handmade Cuban cigar sales were up 16% in non-EU markets, while Snus volumes rose 19%. Revenue of £13.701bn for the half-year to end-March was up 2% on the prior year period. Operating Profit was up 7% at £1.274bn and basic EPS up 34% at 91.3p. Interim dividend of 28.1p is up 16%. A £500m per annum share buyback programme is effective from today. Tobacco net revenue grew by 2.7%, … Read entire article »