Vol. 455 No. 4
43 Mr. Sargent asked the Minister for Finance the steps, if any, which are being taken to combat smuggling and illegal sales of cigarettes in Ireland and the European Union in view of the estimated 280 billion cigarettes which disappear world-wide each year and in view of the fact that in 1993, 53 billion American cigarettes alone disappeared and ended up in Europe. [11072/95]
I am informed by the Revenue Commissioners that they are fully alert to the situation regarding the smuggling and illegal sale of cigarettes and other tobacco products without payment of the appropriate taxes in Ireland. They are also aware of the fraudulent diversion of cigarettes onto the EU market which gives rise to similar problems in member states generally.
In Ireland, at enforcement level, the gathering of intelligence on this illegal trade has resulted in significant seizures of tobacco products at import points and from illegal distributors and street traders. Customs have, since 1 January 1994, seized nearly 28 million cigarettes and 4,000 kilograms of tobacco. At the EU level, a cigarette smuggling task group has been set up to deal with this problem on the operational, administrative and legal levels.
On the legislation front, tax stamps on cigarette packs will be required here with effect from September 1995 in accordance with the relevant provision of the Finance Act, 1994. This legal requirement will greatly assist the Revenue in its efforts to counteract illegal trading in cigarettes and will facilitate prosecution of offenders by their staff. In addition, section 77 of the Finance Act, 1995, provides for the extension of tax stamps to other tobacco products. It is intended that tax stamps for roll-your-own tobacco will be introduced in 1996 following discussions with the industry.
