Michael McGrath
Ceist:191. Deputy Michael McGrath asked the Minister for Finance the yield from increasing the excise duty on tobacco by €1 per packet; and if he will make a statement on the matter. [38177/14]
Amharc ar fhreagraTuesday, 7 October 2014
Ceisteanna (191)
Freagraí scríofa
Increasing the price of a packet of cigarettes by €1, with a pro-rata increase on all other tobacco products, would yield €123.5 million in a full year, and €19.5 million from Budget night to the end of the current year.
I would caution that this estimate assumes no exceptional change in consumer behaviour. Such a large increase could lead to consumers substituting from Irish duty paid tobacco products to non-Irish duty paid tobacco products, whether legally purchased in another jurisdiction or purchased illicitly, or indeed reducing their tobacco consumption.