A plan to raise the special consumption tax should be closely linked to anti-smuggling efforts, National Assembly deputies stated during the ongoing 8th session in Hanoi on November 4.

They agreed to amend the existing law on the special consumption tax for tobacco, beer and wine in a bid to reduce the number of consumers, generate income for the State budget, and ensure domestic production.

Vietnam joined the WHO Framework Convention on Tobacco Control (FCTC) in 2005. (Photo for illustration). Source: daidoanket.vn

According to the roadmap, the tax on tobacco products will be raised from 65 percent to 70 percent by the end of 2018 and to 75 percent from 2019, while tax on beer will increase from 50 percent to 55 percent by the end of 2016, to 60 percent by the end of 2017, and to 65 percent from 2018.

Statistics show that Vietnam has one of the countries with the highest smoking rate in the world, with 47.4 percent of males over the age of 15 being smokers.

Vietnam joined the WHO Framework Convention on Tobacco Control (FCTC) in 2005, and has since issued a law and devised a strategy on preventing and controlling the harmful impacts of smoking, which aims to reduce the smoking rate in Vietnam from 47.4 percent to 39 percent by 2020.

Tax on alcohol with 20 degree upwards will increase from 50 percent to 65 percent and a 35 percent tax rate will be applied for that under 20 degree.

Source: VNA