Jump to full article: Health-E, 2010-02-18
Author: Lungi Langa
Intro: The National Council Against Smoking (NCAS) has urged finance minister Pravin Gordhan to review tobacco tax rates in South Africa.
Gordhan announced that cigarette tax would increase by R1,24 per pack.
The group accused government of sticking to a policy which kept tobacco taxes low in favour of tobacco companies at the detriment of public health and government revenues.
The group said South Africa's tax rates on tobacco were among the lowest in the world. "Since 1997 government set the cigarette tax rate at 50% of retail price and gradually increased it to 52% in 2002," the NCAS said in a statement. It has remained at 52% since
According to the NCAS smokers in Ireland would part with R93 for a packet of 20 cigarettes which makes up 79% of the retail price. They said the average tax incidence in the 27 member states of the European Union was 78%.
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