INITIATIVES > USING HEALTH PROMOTION FUNDING >
Around 40 countries dedicated tobacco tax revenues for health purposes
Tobacco Control | Non-Communicable Diseases | Health Insurance/Universal Health Care | Other/More General Health Programmes |
---|---|---|---|
Gabon, Iran, Madagascar, Switzerland, Vietnam | Botswana, Costa Rica (incl. tobacco control), Mauritania (anti-cancer fund), Panama (incl. tobacco control), Paraguay, Guam | Colombia, Egypt, Palau (also NCD prevention), Philippines | Algeria, Argentina, Bangladesh, Benin (sports), Cabo Verde, Chad, Comoros, Côte d’Ivoire, El Salvador, Estonia, Guatemala, Indonesia, India, Ireland, Jamaica, Lithuania (sports), Maldives, Mongolia, Morocco, Nepal, Republic of Korea, Thailand, USA, Venezuela, Yemen |
COUNTRY | REPORTED USE OF DEDICATED TOBACCO TAXES |
---|---|
Algeria | Revenues from an additional tax on cigarettes (6 DZD per pack) support an emergency fund and medical care. |
Argentina | An additional tax of 7% of the retail price of cigarettes is directed to a special tobacco fund (Fondo Especial del Tabaco). |
Bangladesh | A health development surcharge of 1% of the maximum retail price of tobacco products. |
Benin | 20% of taxes collected from tobacco products are used for the promotion of sports in Benin. |
Botswana | Tobacco levy: 30% of cost of production or CIF price for imported tobacco used for general health promotion activities (prevention and control of non-communicable diseases (NCDs) and the social ills caused by tobacco). |
Cabo Verde | All excise revenues are used for sports and health. |
Chad | Specific tax of 100 CFA per pack of cigarettes used for universal health coverage. |
Colombia | The total proceeds from the ad valorem tobacco excise tax (10% of retail price) and most proceeds from the specific tobacco excise are used to fund the national health insurance. Additionally, a smaller proportion of the specific excise tax funds sports. |
Comoros | A portion of the 5% extra tax on tobacco is directed to the Ministry of Sports and another portion to hospital emergencies. |
Costa Rica | All revenues from the specific excise tax (483.6 CRC per pack) are used to fund programmes for the prevention and treatment of diseases related to tobacco use, cancer treatment, harmful use of alcohol, and sports. |
Côte d’Ivoire | Proceeds of an additional tax of 2% of producer price of cigarettes are directed to the AIDS programme and for tobacco control; proceeds of another additional tax are directed to sports. |
Egypt | An extra 0.1 EGP per pack is levied to fund the students’ health insurance and an additional 0.75 EGP per pack is levied to fund the national health insurance. |
El Salvador | 35% of revenues from excise taxes on tobacco, alcohol and firearms, ammunition and explosives fund FOSALUD (the solidarity fund for health). |
Estonia | 3.5% of excise revenues earmarked to Cultural Endowment of Estonia, including 0.5% transferred to the physical fitness and sport endowment. |
Gabon | 1% of revenues collected from tobacco taxes are used to finance the national programme for tobacco control. |
Guam | A portion of the tax revenues is to fund cancer prevention and control, with 1% allocated to support Cancer Registry. |
Guatemala | All revenues from the excise tax on tobacco are used for health programmes. |
India | The National Calamity Contingency Fund (NCCF) now renamed the National Disaster Response Fund (NDRF) under the 2005 Disaster Management Act, is a fund managed by the central government for the purpose of providing relief and rehabilitation due to any threatening disaster situation or disaster. |
Indonesia | 10% surcharge imposed on tobacco excise; at least 50% of its proceeds are allocated for health programmes and law enforcement at the regional level, 75% of the 50% allocation for health are to be used for National Health Insurance (Jaminan Kesehatan Nasional (JKN)) programme, 25% for maintenance of health facilities). |
Iran (Islamic Republic of) | Up to 2% of taxes collected on tobacco are used to support tobacco control activities. |
Ireland | Each year tobacco excise receipts of not more €167.605 million are paid over to the Minister for Health. The Minister for Finance determines the amount. |
Jamaica | 20 per cent of the revenues from the Special Consumption Tax on cigarettes is directed to the National Health Fund. |
Lithuania | 1% of revenues from tobacco excise are used to finance a Physical Education and Sport Support Fund. |
Madagascar | Additional taxes on tobacco products (6 Ariary per pack of cigarettes, 50 Ariary per pack of cigars or cigarillos and 1 Ariary per pack of chewing tobacco) are directed to finance the office for National Tobacco Control, the National Fund for the Promotion. |
Maldives | Import duty from tobacco will be used in health programmes. |
Mauritania | Revenues from an additional tax of 7% of the declared import value of cigarettes are dedicated to anti-cancer research. |
Mongolia | 2% of tobacco excise tax is collected for the Health Promotion Fund, in accordance with the amended Law on Government Special Funds (2019) and article 10.2 of the Tobacco Control Law (2013). |
Morocco | 5.4% of the total excise tax revenue is allocated to the social cohesion fund which finances, among other activities, health care for the poor and physically handicapped. |
Nepal | 25% of tobacco excise revenues are directed to a Health Tax Fund. Additionally, a Health Hazard Tax of 0.25 NPR per piece of bidi, 0.50 NPR per piece of cigarette and cigar and 40 NPR per kg of smokeless tobacco (khaini, surti, gutka, pan masala) is levied. |
Palau | 10% of the annual tobacco excise tax revenues are allocated to fund health care coverage subscription costs for citizens who are not working and are at least sixty (60) years of age or disabled, and 10% of taxes on alcohol and tobacco are allocated to non-communicable diseases. |
Panama | 50% of tobacco tax revenues collected are directed to the National Institute of Oncology, the Ministry of Health for cessation services and Customs to fight illicit trade in tobacco products. |
Paraguay | From total excise tobacco tax revenues, 40% are directed to the Ministry of Health for prevention and treatment of NCD and 18% to the National Development Sports Fund. |
Philippines | 50% of the total excise tax collection from tobacco products shall be allocated and used exclusively in the following manner: (1) 80% to PhilHealth for the implementation of the Universal Health Care Law; and (2) 20% shall be allocated for medical assistance and health enhancement facilities programme. |
Republic of Korea | An amount of 841 KRW per 20 sticks of cigarettes is directed to the National Health Promotion Fund which finances health promotion research and projects including tobacco control. |
Switzerland | A contribution from the excise tax on cigarettes (0.026 CHF per pack) is directed to the Tobacco Prevention fund. |
Thailand | 2% of excise on tobacco and alcohol are directed to the Thai Health Promotion Foundation (Thaihealth) fund. Another 2% of excise revenues are directed to a Sports Promotion fund. |
United States of America | Varies by State. Amount per pack funds different types of activities, mainly health activities. |
Venezuela (Bolivarian Republic of) | 26% of total excise tax revenues goes to health and social security. |
Vietnam | A surcharge of 2% of the excise tax base to finance a fund for tobacco control. |
Yemen | Revenues from the excise tax (20 YER per pack of 20 cigarettes) are used to fund different social programmes including youth sports and anti-tumors control centers. |
References
World Health Organization. (2021). WHO report on the global tobacco epidemic, 2021: Addressing new and emerging products. Geneva, World Health Organization.World Health Organization. (2016). Earmarked tobacco taxes: lessons learnt from nine countries. Geneva, World Health Organization.