TOBACCO REVENUE
DUTIES DECREASED
"RATE TOO HIGH"
The announcement of a decrease in the .Customs and excise duty on tobacco and cigarettes- was made by the Minister.. - . ; ■ . "Tobacco is essentially a revenue item; the amount of duty collected thereon during 1933 was over £1,600,000," said Mr. Coates. "The question as to the protection to be granted to the .grower and manufacturer must be considered in relation to the revenue aspect. The Commission, in their report, draw attention to the relatively' large loss of revenue due to the proteetkm •nominally granted to the grower .on , leaf tobacco, and it is evident that the rate is too high. The Government "propose to reduce this protection by Is per pound, and, so that the revenue may be safeguarded, to add an equivalent amount to the excise duties..- The position with respect to cigarettes. is that it was found some years ago that revenue was being lost through, the admission of tobacco suitable for the manufacture of cigar-
ettes at the same rate as ordinary pipe tobacco. To meet this difficulty it was decided in 1921 to impose on fine cut tobacco a rato of duty approximating that on cigarettes. Experience has since shown that this is ineffective, and it has been decided to abolish this distinction in tobacco duties and to substitute a special duty on cigarette papers at the rates of ljd and lid for ©very sixty papers under the British preferential and general tariffs. respectively. At the same time it is intended to reduce the import duties on cigarettes by Id per packet of ten and to provide for a corresponding reduction in the excise duties. The protection, as such, granted to the- manufacturer is considered to be satisfactory, and it is not proposed to make any reduction therein. The making of cigarette papers in New Zealand is not regarded as an industry suited to the Dominion, and it is. intended to impose an excise duty thereon at the same rate as that under tho British preferential tariff."
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https://paperspast.natlib.govt.nz/newspapers/EP19340711.2.27.11
Bibliographic details
Evening Post, Volume CXVIII, Issue 9, 11 July 1934, Page 7
Word Count
337TOBACCO REVENUE Evening Post, Volume CXVIII, Issue 9, 11 July 1934, Page 7
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