The Philippines’ Bureau of Internal Revenue (BIR) said it plans to balance taxes on vape products and traditional cigarettes this year to boost collection. It currently charges P63 ($1.07) in taxes per pack of 20 cigarettes and for every 10 ml of classic nicotine liquids, but other vape devices are charged higher at P109.20 ($1.86) for 2 ml salt nicotine pods. From January to November 2024, the government collected P128.98 billion ($2.2 billion) in taxes from tobacco and P1.35 billion ($23 million) from vape products.
BIR Commissioner Romeo Lumagui Jr. said that aligning tax rates for both products is a priority for the BIR to maximize collections from the tobacco and vape industries. “I think it will happen this year,” he said. “There will be an improvement, and the drag down of excise taxes on tobacco and vape will not be that big.”
Lumagui also said the BIR will be destroying confiscated cigarettes nationwide, with vape products to be destroyed once they are inventoried.
