Finian McGrath
Question:62. Deputy Finian McGrath asked the Minister for Finance if he will clarify the 40 cent additional duty placed on cigarettes (details supplied); and if he will make a statement on the matter. [42497/14]
View answerThursday, 6 November 2014
Questions (62)
Written answers
I am informed by the Revenue Commissioners that the estimated €53m to be generated by the additional duty placed on tobacco products in Budget 2015 is €44m additional Excise and €9m additional VAT.
The calculation is based broadly on a "no change" basis but does incorporate a small projected fall in consumption of tobacco products resulting from the increase in prices. This approach to estimating the effect of changes in rates, which is also used for other excise products, is indicative of the potential additional tax yield that may arise in standard market conditions.