Tobacco Companies and Excise Taxes

The tobacco industry would shoulder the bulk of the additional revenues generated from “sin” products should the current version of the excise-tax reform bill be implemented, data from the Department of Finance (DOF) showed. House Bill 5727, or “An Act Restructuring the Excise Tax on Alcohol and Tobacco Products,” is expected to generate an additional P31.35 billion in new revenues for the first year of implementation or in 2013, the data showed. Some 85 percent of this, or about P26.87 billion, would come from the tobacco companies; only a small portion would be shouldered by alcohol firms.

Cigarette Packaging with Warnings, Australia

British American Tobacco, Japan Tobacco International, Philip Morris and Imperial Tobacco took their fight against the drab green boxes - designed to deter smokers - to the full bench of the High Court in April. But in a win for the Federal Government, a majority ruling by the High Court today dismissed their case. Responding to the judgment, British American Tobacco Australia (BATA) said tobacco plain packaging would lead to a spike in illegal cigarette sales. BATA spokesman Scott McIntyre said the company still believed the Government had no right to remove their intellectual property and was extremely disappointed by the court's ruling.

Hospital Campus Will Become Smoke-Free

A ban on the use of tobacco products anywhere on the Methodist Hospital campus takes effect Jan. 1. This includes parking lots, hospital vehicles and employees’ personal vehicles parked on the premises. Employees are prohibited from using tobacco products during working hours. Hospital leaders say the new policy reflects the hospital’s mission. “We are eliminating tobacco use on our properties to provide a healthy and safe environment for employees, patients and visitors and to promote positive health behaviors,” said Methodist Hospital CEO and President Dan Ausman..

People Smoke Less Cigarettes and More Cigars

Higher taxes drove a significant number of Americans away from cigarettes last year, according to a new study from the federal Centers for Disease Control and Prevention. But instead of quitting, many of those smokers shifted to other sources of tobacco that are not taxed as heavily. Cigarette use declined by 2.5% between 2010 and 2011, the new study reveals, while consumption of other forms of smoked tobacco such as cigars and homemade cigarettes rose more than 17%. Since 2000, cigarette use has dropped by 33% while use of non-cigarette products rose 123%, with the biggest increase coming since a 2009 hike in federal cigarette taxes – which exempts cigars and loose tobacco. The lobbying arm of the American Cancer Society responded to the numbers by calling yesterday for the government to close that tax loophole, which the society said undermines cessation efforts and deprives the government of money. “The CDC’s data clearly demonstrate that the disparity in tax treatment of tobacco products is undercutting our ability to effectively reduce tobacco use and save lives,” Chris Hansen, president of the American Cancer Society Cancer Action Network, said in a statement.