Equal taxes levied on e-cigs and cigarettes to boost Israel’s revenue.

February 15, 2024
1 min read

TLDR:
– The Knesset Finance Committee has demanded equal taxation on electronic cigarettes (e-cigs) and regular cigarettes in Israel.
– The Finance Ministry, previously opposed to equalizing the taxes, stated that they are now in favor of comparing the tax rates on e-cigs and regular cigarettes.

The Knesset Finance Committee in Israel has called for equal taxation on electronic cigarettes (e-cigs) and regular cigarettes, and the Finance Ministry has stated that they are no longer opposed to the idea. Public health organizations and leading physicians have accused the Ministry of giving in to pressure from tobacco companies and have emphasized the importance of taxing smoking products to reduce smoking rates, especially among teenagers and children. The Finance Committee debated increasing taxes on various smoking products, including unprocessed tobacco, cigarettes, processed tobacco for cigarettes, and single units of tobacco. The issue at hand was why e-cigs were not subject to the same taxes as regular cigarettes. Concerns were raised about the costs being passed on to the public, but the Minister of Finance expressed no opposition to adding taxes on e-cigs. The health and economic toll of smoking in Israel is significant, with smoking being responsible for almost a fifth of deaths in the country each year. The Association of Public Health Physicians, Israel Medical Association (IMA), Israel Cancer Association, and other organizations sent a letter to the health and finance ministers, as well as their directors-general, calling for urgent action to protect future generations from the harmful effects of smoking.

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