Rus News Journal

The Ministry of Finance does not approve idea of sharp increase of tobacco excises

the Offer of some deputies about increase of the tobacco excise in 2011 three times and in one and a half time in 2012 have not found the response at the Ministry of Finance.

In financial department of Russia consider that so radical increase in rates of the excise will cause the whole bouquet of negative economic and social consequences. The expert opinion of the Ministry of Finance on the bill on change of articles of the code are published yesterday on a department site.

Deputies of the State Duma - authors of the bill - expect to lower thus tobacco consumption in the country. However world experience shows: in case of sharp increase of tax rates and, accordingly, a rise in price of tobacco people do not throw a bad habit, and simply pass to cheaper and less qualitative tobacco. But if the care of nation health is not included into functions of the Ministry of Finance, care of budget replenishment - its direct duty. And so, sharp increase in excise rates, consider in the Ministry of Finance, at all will not lead to budget increase as in such situation preconditions for illegal circulation of cigarettes (and it besides - world experience) are created. Today at us the minimum volume of a shadow turn of tobacco production - no more than 1 percent. With increase in excises in the sizes offered by deputies the illegal turn can grow in tens times. In the countries which have decided to fill up considerably treasury at the expense of smokers, the statistican another. For example, in Latvia the share of illegal cigarettes in the market has reached 20 percent, in Estonia - 20 - 25 percent, in Lithuania - 40 percent.

In department have reminded that rates the next two years are already confirmed. Excise indexation on cigarettes with the filter is planned annually on the average for 22,5 percent, on cigarettes without the filter and a cigarette - 40,5 percent. And the given increase in rates of the excise at tobacco production, according to the Ministry of Finance, is now optimum as from the point of view of increase in tax incomes, and a non-admission of creation of economic conditions for contraband and illegal manufacture of tobacco products.