MANILA – A ranking Department of Finance (DOF) official is optimistic that lawmakers will adopt the proposal to have a P45 excise tax on electronic cigarette (e-cigarette) to fund the universal health care (UHC) program.
This was after Albay Rep. Joey Salceda, who chairs the Ways and Means Committee, expressed willingness to support the proposal due to rising health-related cases reportedly caused by e-cigarettes.
Department of Finance undersecretary Karl Chua was asked whether their proposed excise tax rate on vapor products will not be reduced after it received favorable assessment from Salceda, Chua said: āI hope so.ā
Chua added the proposed excise tax on cigarette is expected to bring in additional P2 billion to P2.5 billion to government coffers on the measureās first year of implementation.
Last week, Salceda said he sees the need to impose excise tax on e-cigarette due to mounting evidence of health risks.
āThereās increasing evidence that justifies the use of taxation to pursue precautionary principle for national health welfare,ā he said.
Members of the House of Representatives already approved House Bill (HB) 1206 imposing P40 to P60 worth of duties on e-cigarettes, while senators agreed a bill setting P10 excise tax on e-cigarette per 10 milliliters of vaping liquid. (PNA)
