Tax Hike Should Go up in Smoke

Responding to answers in Parliament by Associate Minister of Health, Hon Peseta Sam Lotu-Iiga, that the Government is seeking advice on raising tobacco taxes further, Taxpayers’ Union Executive Director, Jordan Williams, says:

“Mr Lotu-Iiga should also seek advice on the regressive nature of smoking taxes, which disproportionately impact on the lowest income earners in society.”

“Taking practical steps such as banning smoking in cars when children are present is one thing, but hiking taxes up to levels where the taxes are many times greater than the cost of smoking is nanny state boorishness.”

“Smokers should be made to pay for the cost of their habit, not be used as a revenue gathering tool by governments more interested in social engineering than delivering value for money to taxpayers.”

"Smokers already contribute significantly more in taxation than what they cost, and the risk is that excessive taxes will lead to a counterfeit tobacco problem as has occurred in Australia."

ENDS

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