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A Rs. 5.00 VAT on a cigarette

A Rs. 5.00 VAT on a cigarette Featured

The government has decided to impose VAT on cigarettes from July 01.

As a result, the price of a cigarette is expected to go up by Rs. 5.00.

The state earns an income of Rs. 80 billion annually from the sale of cigarettes.

With the addition of the VAT, the expected revenue is Rs. 100 billion.

A government spokesman told Sri Lanka Mirror that the imposition of the tax was intended at taking further the government’s fight against drugs and alcohol.

Last modified on Saturday, 18 June 2016 11:48

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