Tobacco.org

Call to increase tobacco tax 

THE Rudd Government's chief adviser on preventive health has called for an increase to the excise on tobacco of 2.5 cents a cigarette, which could raise $400 million a year on top of the $500 million to be raised from the increased excise on "alcopops".

Rob Moodie, who chairs the National Preventative Health Taskforce, said the increased excise on ready-mixed spirits - imposed at the weekend to fight teenage binge drinking - was "terrific" and should be extended to cigarettes.

"Using taxation or pricing as a lever for reducing harmful consumption is a really good idea," Dr Moodie told the Herald.

He said Australians were very sensitive to price rises, and increasing the excise by 2.5 cents a cigarette would reduce consumption by about 3 per cent.

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