Tobacco taxes are a great way to reduce tobacco use. It is so significant that all stakeholders are always looking for ways to evade taxes. Be it, users, retailers or manufacturers. This leads to illegal trade and policy violations. And to execute this big players hire criminals.
Thus, tax evasions is leaving the government with less revenue. At the same time it is also harming the society by supporting anti-social elements. Such activities also harms public health of a country. Because the money government loses due to tax evasion, could have been, otherwise, used to improve health facilities in the country.
We have prepared fact sheets presenting the malpractices taking place in different states of India.
The fact sheets present state-wise incidents of COTPA violations and tax evasions. Key points covered in the fact sheets :
- Illicit Trade Routes
- Quantum of Violation
- Companies involved in major violations
- Recommendations and good practices for the Government and policymakers
This, we believe, will demonstrate the importance – and feasibility – of addressing illicit trade in tobacco products as an integral part of tobacco tax reform and comprehensive tobacco control.