‘Vape products should be taxed higher than cigarettes’
May 21, 2025 by philstar.com
‘Vape products should be taxed higher than cigarettes’
The government discussed taxing vape products higher than cigarettes due to increasing youth consumption. BIR suggested different tax rates for vapes to prevent revenue loss. Concerns over vape use by adolescents were raised, with a 40% increase since 2021. Measures like excise stamps were implemented to regulate vape products. Senate deliberations include proposals to amend tobacco excise taxes to address illicit trade. PMFTC recommended an odd-even tax scheme for tobacco products to enhance revenue. Enforcement against illicit trade is considered crucial over tax adjustments. The aim is to balance tax rates while combating illegal activities in the industry.
20.40% of the adult population are current smokers. There are approximately 15.8 million current smokers in Philippines 36.20% of men are current smokers but only 4.30% of women.
SOURCE: GSTHR
