China's tobacco tax still has room to raise

With the approval of the State Council, the Ministry of Finance and the State administration of taxation have made major adjustments to the policy of consumption tax on tobacco products, and in addition to the maximum rate of consumption tax to 56%, an additional 5% per cent tax is levied.　　The new policy is to be implemented from May 1 this year. A certain degree of relief to financial pressure the most striking aspect of this policy adjustment is the imposition of a tax on cigarette wholesale, with a tax rate of 5%.　　Experts believe that the adjustment of tobacco consumption tax will help reduce the smoking population, while easing the national financial pressure to some extent.　　Kang, director of the Finance Science Institute of the Ministry of Finance, said that January-April revenue was negative, to the national budget is very pressure, tobacco consumption tax increase, can hedge this pressure. Zhang Bin, deputy director of the Institute of Finance and Finance of the Chinese Academy of Social Sciences, said: "It will definitely increase taxes, but not how much." In addition, the State administration of taxation has recently approved the production of cigarette consumption tax minimum tax price, and clear the way and requirements of management. At the same time, the State administration of taxation requires local tax authorities to send factory groups to tobacco production enterprises and cigarette wholesale units to verify excise tax basis, monitor the transactions between taxpayers and strengthen the management of excise tax collection.　　"Retail prices have not been affected. This increase in the tobacco consumption tax rate is only levied at the production and wholesale levels, will this affect the retail price of tobacco? At present, China's tobacco industry to implement the national tobacco monopoly system, by the national unified pricing.　　The tobacco consumption tax adjustment, is bound to change the original manufacturers, distributors, the interests of the pattern, if the tax is too high, consumers may bear the cost of pressure transfer. However, in the interview, the reporter found that the retail price of cigarettes has not changed.　　In addition, the reporter also learned that this time, China's tobacco tax rate in the adjustment, and other countries, there is still a gap of about 10%, in the long run, China's tobacco products tax rates still exist to raise space. Is there room for the tobacco tax to be adjusted? Zhiyong, a researcher at the Institute of Finance and Finance of the Chinese Academy of Social Sciences, said, "tobacco taxes have been saying that the adjustment is detrimental to health, and from the point of view of smoking, there is a certain necessity." "The latest figures released by the Bureau of Statistics show that tobacco prices rose 0.2% per cent in May this year, when CPI fell 1.4% Year-on-year. The increase in tobacco consumption tax is equivalent to a 16% increase in the tax burden on manufacturers.　　CCTV accounts for 70 yuan a cigarette rose at least 10 yuan according to the "Beijing Times" reported that the consumption tax is originally levied on manufacturers, but because of its transfer, generally end up with consumers to pay. According to the current minimum standard for high-grade cigarettes per 70 yuan, the consumption tax from the original 45% to 56%, that is, increased by 11%. Plus the 5% tax levied on the wholesale chain, each cigarette is at least 10 yuan. And the higher the cigarette grade, the higher the retail price of the adjustment tax. For example, the premium cigarettes priced at $600 are at least 100 yuan per article after the tax adjustment.