Tax on cigarettes

That the government is working on a proposal to withdraw the incentive of lower tax on cigarettes is a positive initiative that is taken in an effort to counter health risks and boost revenue collection. According to a study, a uniform excise duty of Rs44 per pack of 20 cigarettes could reduce the number of smokers by 13.2 percent, increase tax revenue by Rs39.5 billion, reduce the number of premature deaths caused by smoking by 0.65 million and prevent 2.55 million young people from starting smoking.

In addition, the tax measure will also help curb illicit trade in tobacco products. This is a great initiative taken by the government which should be implemented at the earliest.

Nazirah Salim

Karachi