In the coming budget, the rate of 15 percent VAT on retail price of all types of tobacco products, reduction in the quantity of cigarettes (low and high) in two and lowering the filter and non-filter division has proposed to reduce the price of 25 to 25 rupees of bidi bidi, the anti-tobacco coalition.
These proposals were made in a pre-budget discussion titled 'How to Make Tobacco Tax' in the conference room of National Press Club on Thursday (03 May).
At the initiative of Anti-Tobacco Media Alliance-Spirit, organized the discussion on anti-tobacco organization National Heart Foundation, Dhaka Ahsania Mission, Association for Community Development (ACD), Young Power in Social Action (Ipsa) and anti-tobacco women alliance (Tabinaj).
It proposes to bring domestic and international divisions in the lower level of cigarettes in the 2018-19 fiscal budget and bring a high level (high level) by combining high and premium levels. Besides, the minimum price for 10 cylinders of cigarette is fixed at Tk 50 and 60 percent supplementary duty and at the higher level, the minimum price of 10 cylinders of cylinders is fixed at Tk 100 and 65 percent supplementary duty; In all cases, it is proposed to impose a specific tax on every 10 pieces of cigarettes of 5 cigarettes.
Canceling bidi filter and non-filter partitions; The minimum price is 25 rupees per 30 rupees, 45% supplementary duty and six paise to impose specific tax; Extinction of X-factory price is taxed on the basis of retail prices like cigarettes and bidi; The minimum price for every 20 grams of smokeless tobacco products is fixed at 50 rupees and 45% supplementary duty and 10 rupees to be imposed specific tax; According to the speakers, 15 percent VAT will be applicable for retail price of all the tobacco products.
If these proposals are accepted, about 6.42 million adult smokers (3.07 million cigarette smokers and 3.35 million bidi smokers) will be encouraged to quit smoking. As a result, the use of cigarettes will be reduced to 2.7% and the bidi usage will be reduced to 2.9%. In the long run, it will be possible to prevent premature death of present-day smokers (1.08 million cigarettes of smokers and 0.94 million bidi smokers) and 75 to 100 billion rupees (or 0.4 percent of GDP) additional revenue earning will be achieved.