Considerações acerca do impacto da política de impostos sobre o comércio e o consumo dos cigarros no Brasil

Abstract

establishing a working group to assess the possibility of tax cuts on cigarettes manufactured in Brazil, aimed at "decreasing the consumption of low-quality foreign cigarettes, contraband, and the resulting health risks". According to the Ruling, the working group would address such topics as proposals to reduce the consumption of these cigarettes and even the possibility of reducing taxes on those manufactured inside Brazil to avoid the consumption of "low-quality" foreign cigarettes. The scientific basis cited for the working group's implementation was the study entitled Uma Alternativa de Combate ao Contrabando de Cigarro a partir da Estimativa da Curva de Laffer e da Discussão sobre a Política de Preço Mínimo [An Alternative for Combatting Cigarette Contraband based on the Laffer Curve Estimate and Discussion of the Minimum Price Policy] 2. The above-mentioned document states that contraband cigarettes do not display the same quality as legal Brazilian cigarettes and are thus more harmful to health, and that illegal trade accounts for more than half of the Brazilian cigarette market. The working group includes representatives from the Federal Police, National Consumer Department, and special advisors on legislative matters and representatives of the Ministries of the Economy and Health 1. The current article aims to contribute to the analysis of the assumptions and topics under study by the working group as indicated in the Ruling, and to propose measures to reduce the illicit trade in tobacco products. On price cuts for cigarettes Price increases on tobacco products, especially promoted by tax increases, are one of the most effective ways to reduce tobacco product consumption, especially among the poor 3,4. A monograph 5 published by the National Cancer Institute of the United States in collaboration with the World Health Organization (WHO), in which studies from various countries were analyzed, concluded that there is a correlation between higher taxes and prices and a reduction in tobacco consumption and prevalence. The monograph concludes that a 10% increase in cigarettes prices Considerations on the impact of tax policy on cigarette sales and consumption in Brazil Considerações acerca do impacto da política de impostos sobre o comércio e o consumo dos cigarros no Brasil Consideraciones sobre el impacto de la política fiscal en la venta y consumo de cigarrillos en Brasil PERSPECTIVAS PERSPECTIVES