Date of Publication

3-2009

Document Type

Master's Thesis

Degree Name

Master of Business Administration

Subject Categories

Taxation | Tax Law

College

Ramon V. Del Rosario College of Business

Department/Unit

Business Management

Thesis Adviser

Terence Conrad H. Bello

Defense Panel Chair

Rachel A. Quero

Defense Panel Member

Eduardo C. Grey, Jr.
Efren Vincent M. Dizon

Abstract/Summary

Republic Act No. 9334 did not update the four‐tiered excise tax classification table for machine‐packed cigarettes that was originally drawn up by Republic Act No. 8240 in 1996. The 1996 four‐tiered excise tax classification table is now outdated because it has largely been eroded by inflation over a period of more than 10 years. If a New Brand were to be introduced in the market today, such new brand must be introduced at a net retail price of (1) below P5.00 per pack of 20’s to be classified at the low‐priced segment; and (2) no more than P6.50 per pack to be classified at the mid‐priced segment; and (3) no more than P10.00 to be classified at the high‐priced segment. If such new brand is introduced at existing price levels, it would be classified at the premium‐priced segment because the four‐tiered excise tax classification table is based on 1996 price levels. In short, a manufacturer or importer of a new brand entering the market today would have to bear significant losses as an inevitable result of coming in at price levels of more than 10 years ago. In effect, the cigarette excise tax system acts as a barrier to New Brands planning to enter the market. The Philippines is one of highest consumer market of these vice products, consequently, one major cause of deaths in the country comes from the effects of cigarette usage. Not one but several diseases caused by smoking and second‐hand smoking as well, have led to deaths and physical sufferings of most Filipino’s, this is an established fact. Moreover, government has subsidized many ill‐related causes among Filipino’s especially the poor and the taxes obtained from manufacturers are critically insufficient to answer the needs of the people.

Abstract Format

html

Language

English

Format

Electronic

Accession Number

CDTG004539

Shelf Location

Archives, The Learning Commons, 12F Henry Sy Sr. Hall

Physical Description

104 leaves

Keywords

Excise tax—Law and legislation—Philippines; Cigarettes—Taxation—Law and legislation—Philippines; Cigarettes—Taxation—Philippines

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4-26-2022

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