Indonesian Political, Business & Finance News

Cigarette tax increase needed

| Source: KORAN TEMPO

Cigarette tax increase needed

From Koran Tempo

Vice President Jusuf Kalla has said that increased state revenue is needed to develop health and educational facilities, including additional revenue from higher cigarette tax.

It is right to raise the tax on cigarettes. In fact, the tax should even be doubled or tripled, given that most smokers will continue to buy cigarettes as they are addicted to nicotine.

The important thing is that the government should maintain tight control as industrialists and their cronies might tempted to print forged duty tags and report fictitious cigarette sales.

Unless a control and inspection team is set up, a vicious circle will follow, with some people growing even richer due to this sort of fraud.

Meanwhile, the government should also be transparent as regards its expenditure and avoid waste, because the majority of Indonesian people remain poor and badly need help if they are to be able to enjoy a decent living.

WOLTER SOESILO Jakarta

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