MoF proposes a hike in special consumption tax on cigarettes, beer, and spirits

February 28, 2023

HÀ NỘI — The Ministry of Finance has proposed to increase the special consumption tax (SCT) on a number of items harmful to health including tobacco, beer, and alcoholic products to limit imports, production and consumption. The ministry is collecting public opinions on the proposal to develop the revised Law on Special Consumption Tax in which the SCT imposed on these products should be increased, reported. Currently, the country applies an excise tax on alcohol of 35-65 per cent, beer 65 per cent and cigarettes 75 per cent. In 2019, the average beer consumption per person was 47.6 litres, 1.2 times the number of 2015 while the consumption of spirits and white wine per person was 3.4 litres, 1.02 times the 2015 figure. The World Health Organisation and the World Bank have recommended that the proportion of consumption tax should account for 66-75 per cent of the retail price of cigarettes.

The source of this news is from Vietnam News