This layered structure of tobacco duties is designed to maximise both revenue and public health impact: Specific duty: 6.33 per pack of 20 cigarettes Ad valorem duty: 16.5% of the retail price (in addition to the specific duty and VAT) VAT: 20% on the final retail price This complex taxation system ensures that even if tobacco companies reduce their wholesale prices, consumers see minimal benefit due to the fixed duty components
Smoking cigars may also contribute to gum disease and tooth loss
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Key Findings: Excessive taxA tax is a mandatory payment or charge collected by local, state, and national governments from individuals or businesses to cover the costs of general government services, goods, and activities
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