Written by Staff Writer
31 May, 2016 | 6:46 pm
In response to an expert who cited that cigarette prices have not increased in comparison to the Per Capita Income, President Sirisena noted that attention of the Cabinet will be drawn towards increasing taxes of tobacco products.
Economist, Dr.Nishan De Mel stated that even though the price of tobacco or consumer purchasing power has increased it has not increased in comparison to the Per Capita income.
Explaining further he questioned that they should not reduce the tax percentage that can be obtained from cigarettes when VAT is increased.
Minister of Health, Dr. Rajitha Senaratne recommended that a tax of 90% should be imposed since around 25,000 people die annually and 2500 children die due to passive smoking.
President Srisena noted that the main reason for poverty and the downfall of the health condition of the poor is liquor and tobacco as it is a national disaster to spend 35% of the low income people earn on tobacco.
The first flag of the program to sell anti-tobacco flags, carried out in parallel to the World No Tobacco Day, was pinned on the President at the Presidential Secretariat.
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