Vol. 397 No. 1
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Dáil Éireann debate - Wednesday, 14 Mar 1990
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Written Answers. - Cigarette Price Reduction.
24 Mr. Howlin asked the Minister for Finance if he has received any representation from the Department of Health or from any health agency in view of the fact that the cost of cigarettes has been reduced as a result of the budget; and if he will make a statement on the matter.
The price reduction in cigarettes arose from the general reduction in the standard VAT rate from 25 to 23 per cent in the recent budget. This reduction was applicable to a wide range of consumer goods. Even after the reduction the tax on cigarettes here is still very high by international standards.
I have not yet received any representation of the kind referred to by the Deputy. I will, of course, keep in touch with my colleague, the Minister for Health, on the question of cigarette taxation particularly in the context of EC indirect taxation proposals.
