Vape Liquid will be Subjected to 57 Percent Duty
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Kamis, 1 Januari 1970 07:00 WIB
TEMPO.CO, Jakarta - Director General of Customs and Excise Heru Pambudi said that electric cigarette (vape) liquids will be subjected to an excise duty 57 percent starting in July next year. This tax is imposed as the government's effort to regulate the use of vape.
"The main ingredient of the vape liquid is tobacco, which is a taxable object according to the Excise Law. Its consumption must also be limited," Heru said during a press conference at the Finance Ministry building in Jakarta, Thursday, November 2.
The tax, said Heru, will be charged at retail price (HJE). Vape liquids produced domestically will only be subjected to excise duty, whilst imported ones will be subjected to the duty and required to have a license from the Trade Ministry.
The government cannot give an estimate of how much state revenue will be derived from this tax impose, which is also aimed at limiting the circulation of electric cigarettes.
"The bottom line is that this is done to prevent underage children from misusing this product," he said.
M JULNIS FIRMANSYAH
