scholarly journals Fiscal and Public Health Impact of a Change in Tobacco Excise Taxes in Ghana

2020 ◽  
Author(s):  
Fenny Ama Pokuaa ◽  
Aba Obrumah Crentsil ◽  
Christian Kwaku Osei ◽  
Felix Ankomah Asante
Keyword(s):  
Public Health ◽  
Tobacco Control ◽  
Primary Data ◽  
Tax Revenue ◽  
Tax Administration ◽  
Tax Structure ◽  
Ad Valorem Tax ◽  
Excise Tax ◽  
The Government ◽  
Ad Valorem

This working paper predicts the fiscal and public health outcomes from a change in the excise tax structure for cigarettes in Ghana. More than 5,000 people are killed by diseases caused by tobacco every year in Ghana (Tobacco Atlas 2018). Currently the country has a unitary tax administration approach, with a uniform ad valorem tax structure on all excisable products, including tobacco. However, the ECOWAS directive on tobacco control, in line with the WHO Framework Convention on Tobacco Control (WHO 2003), recommends a simple tax structure – using a mixed excise system with a minimum specific tax floor to overcome the limitations of an ad valorem system on tobacco products, especially cigarettes. The study therefore simulates mixed tax policy interventions, and assesses their effect on government revenue and public health relative to the current ad valorem tax system. Primary data collection of tobacco prices in three geographical zones of the country was conducted in February 2020, across both rural and urban localities. This was supported with secondary data from national and international databases. Based on the assumption that Ghana adopts a mixed tax structure, the simulation shows that, if the government imposes a specific excise tax of GH₵4.00 (US$0.80) per pack in addition to the current ad valorem rate of 175 per cent of the CIF value, the average retail price of a cigarette pack would increase by 128 per cent, cigarette consumption decrease by 27 per cent, tobacco excise tax revenue increase by 627 per cent, and overall tobacco-related government tax revenue increase by 201 per cent.1 Additionally, there would be significant declines in smoking prevalence (3.3%), smoking intensity (1,448 cigarettes per year), and 3,526 premature smoking-related deaths would be avoided. The paper advocates for a strong tax administration and technical capacity, with continuous commitment by the government to adjust the tax rate in line with the rate of inflation and per capita income growth.

The Unintended Consequences of Tax Policy: How Mississippi's Ad Valorem Tax Structure Led to Environmental Devastation

2020 ◽  
Vol 47 (1) ◽  
pp. 75-85
Author(s):  
William H. Black
Keyword(s):  
20Th Century ◽  
Unintended Consequences ◽  
Tax Structure ◽  
Ad Valorem Tax ◽  
Timber Industry ◽  
Mill Operator ◽  
Clear Cutting ◽  
Environmentally Sensitive ◽  
Land Holdings ◽  
Ad Valorem

ABSTRACT This is a story in two parts. The first describes the timber industry and the ad valorem tax structure in Mississippi during the first several decades of the 20th century. The second introduces Ran Batson, an entrepreneur and lumber mill operator, whose history illustrates the adverse consequences of the Mississippi ad valorem tax as it inspired extensive clear-cutting of forests and resulting devastation. Fortunately, the Mississippi tax structure has subsequently changed to a more favorable approach, and in the last several years of his life, Ran Batson learned the benefits possible from managing his land holdings in a more environmentally sensitive manner.

scholarly journals Tobacco industry tactics in response to cigarette excise tax increases in Mauritius

2019 ◽  
pp. tobaccocontrol-2019-055196 ◽  
Author(s):  
Julie Berthet Valdois ◽  
Corne Van Walbeek ◽  
Hana Ross ◽  
Hema Soondram ◽  
Bhavish Jugurnath ◽  
...  
Keyword(s):  
Tobacco Control ◽  
Action Plan ◽  
Control Policy ◽  
Retail Price ◽  
Mixed System ◽  
Specific System ◽  
The Real ◽  
Excise Tax ◽  
Real Value ◽  
The Government

BackgroundIn response to high smoking rates, especially among men, Mauritius launched a National Action Plan on Tobacco Control in 2008. It changed its tax system from a mixed system to a uniform specific system. Despite these interventions, cigarette consumption and smoking prevalence in Mauritius decreased only marginally in the subsequent decade.MethodUsing publicly available data, we decompose the retail price of cigarettes into tax and net-of-tax components, between 2011 and 2017. We cover premium, popular and economy cigarettes.ResultsSince its introduction in 2008, the nominal excise tax was increased six times. Between 2011 and 2017, the real value of the excise tax increased by 47%. Meanwhile, British American Tobacco (BAT) increased the real net-of-tax price of premium cigarettes by 61.8% and of popular cigarettes by 47.2%, thus overshifting the tax increase. On economy cigarettes, BAT decreased the real net-of-tax price by 14.7%, thus undershifting the excise tax increase.ConclusionThrough its pricing strategy, BAT has greatly undermined Mauritius’s tobacco control policy. However, BAT cannot continue undershifting the excise tax on economy brands, since the net-of-tax proportion of the retail price is very low already. BAT would have little choice but to increase the retail price on economy brands in response to future excise tax increases. The government of Mauritius is encouraged to keep the specific excise tax structure but to increase the rate at which it is levied.

scholarly journals Tax efficiency in a model of endogenous markups

SERIEs ◽  
2019 ◽  
Vol 10 (3-4) ◽  
pp. 401-418
Author(s):  
Esra Durceylan
Keyword(s):  
Firm Heterogeneity ◽  
Consumer Preferences ◽  
Consumer Surplus ◽  
Consumer Welfare ◽  
Tax Revenue ◽  
Aggregate Productivity ◽  
Ad Valorem Tax ◽  
Unit Taxes ◽  
Efficiency Comparison ◽  
Ad Valorem

Abstract Efficiency comparison of ad valorem and unit taxes has been traditionally based on consumer welfare. However, if the tax instrument also affects the distribution of firms over their productivities, the policy maker may be concerned about the implications on aggregate productivity as well. This paper makes an efficiency comparison of ad valorem and unit taxes by allowing the distribution of firms to respond to changes in policy. First, I make an efficiency comparison in a model with monopolistically competitive firms that are homogenous with respect to their productivity levels. Consumer preferences exhibit love for variety and allow firms to adjust their markups. I find that ad valorem tax is more efficient. Allowing for firm heterogeneity overturns this result at high revenue requirements. As the tax rate increases, ad valorem tax causes excessive exit of firms which makes the market more competitive. Hence, few surviving firms price lower by decreasing their markups. Lower prices decrease the tax revenue collected. As a result under ad valorem tax regime, higher consumer surplus is dominated by lower tax revenue. On the other hand, production is concentrated among relatively more productive firms. Thus, aggregate productivity is higher under ad valorem tax regime.

scholarly journals The Role of Marketing Practices and Tobacco Control Initiatives on Smokeless Tobacco Sales, 2005–2010

2019 ◽  
Vol 16 (19) ◽  
pp. 3650 ◽  
Author(s):  
Mary Hrywna ◽  
Irina B. Grafova ◽  
Cristine D. Delnevo
Keyword(s):  
Tobacco Control ◽  
Smokeless Tobacco ◽  
Control Program ◽  
Ad Valorem Tax ◽  
Product Price ◽  
Tobacco Products ◽  
Excise Tax ◽  
Tobacco Control Program ◽  
Tobacco Sales ◽  
Smokeless Tobacco Products

Background: Little is known about how policies and industry activities impact smokeless tobacco demand. We examined how tobacco control policies and retail promotion may affect smokeless tobacco sales. Methods: We used Nielsen market-level retail scanner data for smokeless tobacco sales in convenience stores in 30 US regions from 2005 to 2010. Tobacco policy variables, including excise taxes, state tobacco control program expenditures, and clean indoor air laws, were merged to Nielsen markets. We estimated regression models for per capita unit sales. Results: Higher cigarette tax was significantly associated with lower sales volume of smokeless tobacco. Sales of smokeless tobacco in markets with a weight-based SLT excise tax were higher than in markets with an ad valorem tax. A higher average product price was associated with decreased sales overall but results varied by package quantity and brand. Conclusions: This study observed that smokeless tobacco products were both complements and substitutes to cigarettes. Thus, smokeless tobacco may act as complements for some population segments and substitutes for others. A weight-based tax generally favors premium smokeless tobacco products.

THE CONCEPT OF REAL ESTATE TAXATION BASED ON THE AD VALOREM PRINCIPLE

2018 ◽  
Vol 8 (2) ◽  
pp. 114-117
Author(s):  
Tomasz Wołowiec
Keyword(s):  
Real Estate ◽  
Property Tax ◽  
Tax Rates ◽  
Ad Valorem Tax ◽  
Real Property ◽  
Personal Property ◽  
The Government ◽  
Special Assessment ◽  
Fair Market Value ◽  
Ad Valorem

A property tax (or millage tax) is a levy on property that the owner is required to pay. The tax is levied by the governing authority of the jurisdiction in which the property is located; it may be paid to a national government, a federated state, a county or geographical region, or a municipality. Multiple jurisdictions may tax the same property. This is in contrast to a rent and mortgage tax, which is based on a percentage of the rent or mortgage value. There are four broad types of property: land, improvements to land (immovable man-made objects, such as buildings), personal property (movable man-made objects), and intangible property. Real property (also called real estate or realty) means the combination of land and improvements. Under a property tax system, the government requires and/or performs an appraisal of the monetary value of each property, and tax is assessed in proportion to that value. Forms of property tax used vary among countries and jurisdictions. Real property is often taxed based on its classification. Classification is the grouping of properties based on similar use. Properties in different classes are taxed at different rates. Examples of different classes of property are residential, commercial, industrial and vacant real property. In Israel, for example, property tax rates are double for vacant apartments versus occupied apartments. A special assessment tax is sometimes confused with property tax. These are two distinct forms of taxation: one (ad valorem tax) relies upon the fair market value of the property being taxed for justification, and the other (special assessment) relies upon a special enhancement called a "benefit" for its justification.

scholarly journals Pemutakhiran Kebijakan Smart Health City Secara Kolaboratif Sebagai Upaya Pelaksanaan Revolusi Mental: Studi Di Kota Depok

2020 ◽  
Vol 2 (2) ◽  
pp. 110-129
Author(s):  
Adam Dwi Juliansyah ◽  
Dyah Ayu Febriani ◽  
Hisyam Yusril Hidayat ◽  
Mohammad Hernanda Trianggoro ◽  
Vanissa Noorizqa Prastowo
Keyword(s):  
Public Health ◽  
Health Sector ◽  
Secondary Data ◽  
Strategic Plan ◽  
City Government ◽  
Primary Data ◽  
Healthy City ◽  
The Public ◽  
The Government

The problem in the health sector is one of the complicated problems faced by the government, this is evidenced by the extraordinary events (KLB) in various regions, one of which is the Hepatitis A outbreak in Depok that accumulates 306 cases. The main cause of these outbreaks is the low awareness and mentality of the public regarding the application of healthy and clean lifestyles and the government's preventive ability in terms of policies. Seeing this problem, the City Government of Depok has a strategic plan in the form of the Smart Healthy City (SHC) Depok policy as one of the policy efforts in order to improve the quality of public health through implementing technology and increasing competence in realizing the policy. This paper aims to review how the SHC Depok strategic plan policy can be collaboratively updated to carry out a mental revolution not only at the local government level, but also that policy can be understood by the public. The goal of the mental revolution is not only towards society, but also from the side of the government and various other parties. This paper was compiled from primary data in the form of in-depth interviews with various informants and secondary data from books, journals, and electronic sources. The expected outcome of the SHC Depok policy renewing itself is to improve the quality of services and improve the quality of public health based on preventive and collaborative actions.

scholarly journals The Role of the Indonesian Tobacco Farmers Association in Mobilizing Resistance to Tobacco Regulation in Temanggung Regency

2021 ◽  
Vol 4 (2) ◽  
pp. 136-154
Author(s):  
Bagas Makhrus Wicaksono ◽  
David Efendi ◽  
Alam Mahadika
Keyword(s):  
Public Health ◽  
Tobacco Control ◽  
Secondary Data ◽  
Relevant Information ◽  
Primary Data ◽  
National Scale ◽  
Movement Theory ◽  
Tobacco Regulation ◽  
Qualitative Descriptive

This research focuses on the mobilization of the role carried out by the Indonesian Tobacco Farmers Association (APTI) in an effort to improve the welfare of tobacco farmers in Temanggung Regency by using social movement theory with qualitative descriptive methods where primary data is obtained in direct interviews with respondents and sources who have valid and relevant information to find out the actual problems experienced by tobacco farmers especially in  Regency Temanggung. Then the authors use secondary data to strengthen the validity of the data obtained by the researcher. The results of this study illustrate that tobacco control regulations are not entirely for public health but are used as a pretext in the nicotine market share, so far APTI has carried out various ways and strategies so that national-scale regulations can be changed or removed and the implementation of PP 109 in 2012 will not be applied in Temanggung. In addition to tobacco control regulations there are also classes of tobacco farmers in Temanggung so as to give birth to local capitalization and make the tobacco trade chain longer.

scholarly journals IMPLEMENTATION EXCISE REGULATIONS OF VAPE LIQUID IN KPPBC TIPE MADYA CUKAI MALANG

2019 ◽  
Vol 3 (1) ◽  
pp. 9-21
Author(s):  
Joko Sumantri
Keyword(s):  
Social Networks ◽  
Research Method ◽  
New Product ◽  
Tax Revenue ◽  
Tobacco Products ◽  
Excise Tax ◽  
Descriptive Research ◽  
Qualitative Descriptive ◽  
The Government

The study of e-cigarettes (vape) associated with excise is quite difficult to find in Indonesia. Thus, this study becomes important for the government in evaluating the application of vape liquid excise tax rules to make it fairer for businesses. By using a qualitative descriptive research method, this study obtained the findings that in the working area of KPPBC Type Madya Cukai Malang, the implementation of new regulations related to vape had increased the tobacco excise tax revenue by <1% of the total tobacco excise revenue in the Malang region. In Malang, the contribution of excise revenue from vape liquid is still relatively small to the overall excise tax revenue from tobacco products considering the quantity that is still not massive because it is a new product subject to excise. Although the socialization efforts related to this matter can be said to be successful, it is still needed a mechanism for channeling information for example through social networks so that the latest policies and regulations that are implemented can be implemented more effectively.

scholarly journals STUDI FAKTOR-FAKTOR PEMOTIVASI MANAJEMEN MELAKUKAN TAX PLANNING

2017 ◽  
Vol 19 (3) ◽  
pp. 370
Author(s):  
Indrawati Indrawati ◽  
Gideon Setyo Budiwitaksono
Keyword(s):  
Tax Policy ◽  
Tax Planning ◽  
Tax Revenue ◽  
Tax Law ◽  
Tax Administration ◽  
Tax Laws ◽  
Potential Loss ◽  
The Government

Tujuan penelitian ini adalah untuk menguji pengaruh Kebijakan Pajak, Hukum Pajak, dan Administrasi Pajak Perencanaan Pajak. Sampel kami terdiri dari 20 Klien konsultan Pajak di Surabaya. Hasil penelitian ini menunjukkan bahwa kebijakan dan administrasi perpajakan bukan merupakan faktor yang dapat memotivasi manajemen untuk melakukan perencanaan pajak. Sementara undang-undang pajak merupakan faktor yang dapat memotivasi manajemen untuk melakukan perencanaan pajak. Penelitian ini menunjukkan kepada Pemerintah untuk menerbitkan peraturan pajak jelas dan tegas bahwa tidak ada potensi kerugian penerimaan pajak yang disebabkan oleh kesenjangan.The purpose of this study is to examine the influence of Tax Policy, Tax Law, and Tax Administration on Tax Planning. Our samples consist of 20 Tax Cosultant’s Clients in Surabaya.The Results of this study show that tax policy and tax administration is not a factor that can motivate management to perform tax planning. While the tax laws is a factor that can motivate management to perform tax planning. This research suggests to the Government to issue tax regulations clearly and unambiguously that there is no potential loss in tax revenue caused by the gap

scholarly journals The Global Tobacco Epidemic, the Plain Packaging of Tobacco Products, and the World Trade Organization

2018 ◽  
Vol 17 (2) ◽  
pp. 131 ◽  
Author(s):  
Matthew Rimmer
Keyword(s):  
Public Health ◽  
World Trade Organization ◽  
Tobacco Control ◽  
World Trade ◽  
Essential Medicines ◽  
Tobacco Products ◽  
Plain Packaging ◽  
The World ◽  
Tobacco Epidemic ◽  
The Government

In response to complaints by Ukraine, Honduras, the Dominican Republic, Cuba, and Indonesia, the government of Australia has defended the introduction of plain packaging of tobacco products in the World Trade Organization. This article focuses upon the legal defence of Australia before the WTO Panel. A key part of its defence has been the strong empirical evidence for the efficacy of plain packaging of tobacco products as a legitimate health measure designed to combat the global tobacco epidemic. Australia has provided a convincing case that plain packaging of tobacco products is compatible with the TRIPS Agreement 1994, particularly the clauses relating to the aims and objectives of the agreement; the requirements in respect of trade mark law; and the parallel measures in relation to access to essential medicines. Australia has also defended the consistency of plain packaging of tobacco products with the TBT Agreement 1994. Moreover, Australia has provided clear reasons for why the plain packaging of tobacco products is compatible with GATT. The position of Australia has been reinforced by a number of third parties — such as New Zealand, the United Kingdom, Ireland, Norway, Canada, and others — which have also been pioneers in tobacco control and public health. Australia’s leadership in respect of tobacco control and plain packaging of tobacco products is further supported by larger considerations in respect of international public health law, human rights, and sustainable development.

Sign in / Sign up

Export Citation Format

Share Document