Thursday, September 29, 2016

Cabinet Has Approved A Proposal To Impose A 15% Value Added Tax On Cigarettes Plus Increasing The Production Tax On All Types Of Cigarettes

The Cabinet has few hours ago approved a proposal to impose a 15% Value Added Tax (VAT) on Cigarettes and to increase the Production Tax imposed on   Cigarettes and other local Cigarette  Products by Rs.5 the Government Information Department has announced.

Cabinet has  also approved a proposal  to increase the Import Ses Tax imposed on imported "Beedi" leaves  by Rs.1000 per Kilo Gramme from Rs.2000 to Rs.3000.

Also approval has been given by the Cabinet members to the authorities to take alternative steps to minimize the tobacco use in the country Information Department has stated.


Cabinet has made these decisions after considering the Joint Proposal submitted by President Maithripala Sirisena and Health Minister Dr.Rajitha Senaratne  to increase the Tax imposed on Cigarettes to 90% from 72%.

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