The Philippines’ Bureau of Internal Revenue (BIR) has suggested setting a minimum price for all cigarettes sold in the country “to ensure a level playing field” and discourage more people from taking up smoking, according to a story in The Philippine Star.
BIR commissioner Kim Henares broached the idea during a forum held yesterday, at which she was asked about the steps the government was taking about the proliferation of PHP1 per-stick cigarettes.
The second part of the so-called sin tax law (Republic Act 10351) was introduced in January 2013 with the aim of making tobacco more unaffordable to the public.
Henares said the implementation of the sin tax law in January 2013 had resulted in increased revenues for the government and that she saw no need to amend the “landmark reform.”
“I think you should lobby for a law which will require a minimum price, and not to touch the sin tax law anymore,” she told the forum delegates. “Lobby for a law that cigarettes in the Philippines should not be sold at below a certain price.
“If your complaint is about the cheapness of the price, then you go to the cost, you put a floor on the price. I don’t know how much it should be but the price is not an issue for the BIR.”