Tax hike approved

The Philippine House of Representatives has approved a bill raising taxes on select tobacco products, reports ABS-CBN News.

House Bill 1026, which raises taxes on liquors, wines, beers, heated-tobacco products and vapor products, was approved with 184 lawmakers voting yes, two voting no and one abstention.

Under the bill, heated-tobacco products will be taxed PHP45 ($0.86) per pack of 20 units effective January 2020. This will go up to PHP50 by January 2021, PHP55 by January 2022 and PHP60 by January 2023. The tax rate will be increased by 5 percent every year thereafter.

Vapor products will be taxed by each cartridge, refill pod or container with liquids or gels. Nicotine salt will be taxed PHP35 per mL starting next year, which will be increased by PHP5 every year until 2023. The tax will be raised by 5 percent every year thereafter.