EU under mounting pressure to act on tobacco taxation amid illicit trade surge
Briefly

The European Commission is facing pressure from fifteen finance ministries to expedite the long-overdue update of the Tobacco Taxation Directive (TTD), which was last revised in 2011. Delays, largely attributed to lobbying from Big Tobacco, have left the current provisions inadequate for addressing rising illicit trade and youth tobacco usage. There's a near-universal consensus among member states for reform, yet a few countries resist, citing declining smoking rates. With urgent calls for action, the need for synchronized taxation measures and addressing lost tax revenue is becoming critical for EU nations.
The Tobacco Taxation Directive overhaul, stalled by Big Tobacco lobbying, is crucial for harmonizing tax regimes and curbing youth uptake of new tobacco products.
Fifteen European finance ministries urged the European Commission President to update the outdated Tobacco Taxation Directive to address significant challenges in the European tobacco market.
Despite significant appeals for action on tobacco control, the Commission continues to delay, revealing the contentious divide over regulatory progress within the EU.
With harmonized tobacco taxation essential to tackling illicit trade and financial losses, key actors must push aggressively for urgent reform to the Tobacco Taxation Directive.
Read at Business Matters
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