India Ups Sin Tax Up To 72 Per Cent

By Saraswathi Muniappan NEW DELHI (India), July 11 (Bernama) -- India has increased sin tax in the range of 11 to 72 per cent in a bid to promote healthy lifestyle for its 1.3 billion population. "I propose to increase the specific excise duty on cigarettes in the range of 11 per cent to 72 per cent," Finance Minister, Arun Jaitley, said in his maiden budget speech here Thursday. Similar increases were proposed on cigars, cheroots and cigarillos. Likewise, the excise duty was being increased to 16 per cent from 12 per cent on pan masala (preparation combined with areca nut and/or cured tobacco) and to 55 per cent from 50 per cent on un-manufactured tobacco. Excise duty on gutkha (preparation of crushed areca nut) and chewing tobacco would also be raised to 70 per cent from 60 per cent. Paan Masala is well known to cause tumours. "I also propose to levy an additional duty of excise at five per cent on aerated waters containing added sugar. These are healthy measures and I hope everyone would welcome them from the point of view of human and fiscal health," he said. --BERNAMA