Excise Tax Research Articles

Realisasi Penerimaan Pajak Ditinjau Dari Perspektif Pendapatan Negara

Tax is the largest revenue of a country since it can be renewed flexibly in accordance with the developments. Tax is something that can be imposed on citizens as the reciprocity over the contra-actions made by the government, but of course the contra-achievement cannot be directly enjoyed by its citizens. The tax is levied by the government to finance the State budget. The population in this study is tax revenue consisting of Income tax (PPh), Value Added Tax & Sales Tax on Luxury Goods (PPN&PPnBM), Property Tax & Land and Building Rights Acquisition Fees (PBB&BPHTB), Other Taxes, Import Duties, Excise, and Export Taxes. While the sample in this study is Income Tax, Value Added Tax & Sales Tax on Luxury Goods, Property Tax & Land and Building Rights Acquisition Fees, Other Taxes, Import Duties, Excise, and Export Taxes from 2015-2019. The results of the study of Value Added Tax & Sales Tax on Luxury Goods and Import Duties variables have a positive and significant effect on state income, while the variables Income tax, property tax & land and building rights acquisition fees, Other Taxes, Excise, and Export Taxes have no effect on state revenues. DOI: https://doi.org/10.26905/afr.v3i1.4602

Excise taxes in the budget of the Republic of North Ossetia-Alania: a modern aspect

Excise taxes in the budget of the Republic of North Ossetia-Alania: a modern aspect

Higher Sugar-Sweetened Beverage Retail Prices After Excise Taxes in Oakland and San Francisco.

Objectives. To examine how much sugar-sweetened beverage (SSB) excise taxes increased SSB retail prices in Oakland and San Francisco, California.Methods. We collected pretax (April-May 2017) and posttax (April-May 2018) retail prices of SSBs and non-SSBs from 155 stores in Oakland, San Francisco, and comparison cities. We analyzed data using difference-in-differences high-dimensional fixed-effects regressions, weighted by regional beverage sales.Results. Across all beverage sizes, the weighted average price of SSBs increased by 0.92 cents per ounce (95% confidence interval [CI] = 0.28, 1.56) in Oakland and 1.00 cents per ounce (95% CI = 0.35, 1.65) in San Francisco, compared with prices in untaxed cities. The tax did not significantly alter prices of water, 100% juice, or milk of any size examined. Diet soda only, among non-SSBs, exhibited a higher price increase for some sizes in taxed cities.Conclusions. Within 4 to 10 months of implementation, Oakland's and San Francisco's SSB excise taxes significantly increased SSB retail prices by approximately the amount of the taxes, a key mechanism for reducing consumption.

The Sustainability of South African Small Medium and Micro Enterprises (SMMEs) Operating in the Retail Industry Amidst the Ever-Increasing Excise Taxation on Tobacco Products, Alcohol Products and Plastic Bags: A Literature Review

Small Medium and Micro Enterprises (SMMEs) play a significant role in the socio-economic stimulation of South Africa. Particularly, South African SMMEs are believed to contribute around 50% to the national Gross Domestic Product (GDP) while simultaneously employing up to 80% of the national workforce. Prior research does however suggest that these business entities have among the worst sustainability rates in the world as up to 75% fail after being in operation for three years. A probable reason for the latter dispensation is the non-management of economic factors, one of which is that of Taxation. Taxation is a mandatory obligation imposed on citizens of a country to fund state expenditure. For this working paper, Customs and Excise Taxation is focused on; Taxation that is levied on goods and/or services that are hazardous to both human- and environmental health and wellness. Over the years, Customs and Excise Taxation has not only been imposed on tobacco products, alcoholic products and plastic bags but have also increased year-on-year, to date. As such, the perception was formulated by the author that the sustainability of South African (retail) SMMEs, especially those who sell tobacco products, alcoholic products and plastic bags, are adversely affected by the year-on-year increases of Customs and Excise Taxation. The primary objective of this working paper is to ascertain whether the perception formulated shows truth, in theory. This working paper therefore takes on a non-empirical, exploratory approach that makes use of a qualitative research methodology. Stemming from the findings, thus far, it appears that Customs and Excise Taxation adversely influences the sustainability of South African SMMEs that sell tobacco products, alcoholic products and plastic bags.

What's in a Name? The Incidence of Gasoline Excise Taxes versus Gasoline Carbon Levies

Legislators often attach specific names to individual taxes to promote their purpose, increase transparency, and ease public backlash over tax increases. While having political benefits, does the simple act of naming and promoting a tax for a specific purpose have a more meaningful effect in the marketplace? Do consumers respond differently to tax-induced price increases depending on the name and purpose of the tax? In this article, a natural experiment is used to compare consumer responsiveness and tax incidence after the introduction of two new gasoline taxes in Alberta if: 1) an increase in the generic excise tax and 2) an environmentally-targeted levy. While similar in magnitude, the taxes were very different in name, purpose, and transparency. Results show that the naming and marketing of a tax can indeed matter if responses were lower and incidence higher for the carbon levy than the less transparent excise tax. Implications are discussed.

The Rise and Fall of Alcohol Excise Taxes in U.S. States, 1933–2018

Higher alcohol taxation is protective against alcohol-related morbidity and mortality. All states have specific (volume-based) excise taxes for alcohol that decrease if not adjusted for inflation. These taxes have diminished substantially in real terms since their inception after National Prohibition in the United States. The purpose of this study was to examine trends in the magnitude and frequency of changes in state specific excise taxes to document their erosion. Alcohol excise tax data were examined for all 50 states from 1933 to 2018. Tax data were obtained from the Alcohol Policy Information System, Pacific Institute for Research and Evaluation, Wine Institute, and HeinOnline. Linear and logistic regression analyses were conducted for beer, wine, and distilled spirits taxes to examine trends in the frequency and inflation-adjusted magnitude of changes in taxes from the year of alcohol tax inception. From 1933 until 1970, beer, wine, and distilled spirits tax rates increased in value compared with inception rates, but by 2018 alcohol taxes had declined 66%, 71%, and 70%, respectively, compared with their inception values. The erosion of taxes after 1970 was driven primarily by declines in the magnitude of tax increases through the 1970s and 1980s, followed by declines in the frequency of tax increases in subsequent decades. The value of alcohol excise taxes has declined since 1970 from both insufficient tax increases and later infrequent tax increases. Laws that index rates to inflation could sustain the public health benefit of reduced morbidity and mortality resulting from higher alcohol tax rates.

The Impact of Cigarette Excise Tax Increases on Regular Drinking Behavior: Evidence from China.

(1) Background: Many studies have shown that increasing taxation on cigarettes does play a role in tobacco control, but few studies have focused on whether increasing cigarette excise taxes significantly affects alcohol consumption. In this article, we aim to examine the effects of China’s 2015 increase in the cigarette excise tax on residents’ regular drinking behavior. (2) Methods: Using survey data from China Family Panel Studies (CFPS), we performed a panel logit regression analysis to model the relationship between the cigarette excise tax and regular drinking behavior. The Propensity Score Matching with Difference-in-Differences (PSM-DID) approach was adopted to determine the extent to which the cigarette excise tax affected residents’ drinking behavior. To test whether the cigarette excise tax could change regular drinking behavior by decreasing daily smoking quantity, we used an interaction term model. (3) Results: China’s 2015 increase in the cigarette excise tax had a significant negative effect on the probability of regular alcohol consumption among smokers, and the cigarette excise tax worked by reducing the average daily smoking of smokers. We also found that the regular drinking behavior of male smokers was more deeply affected by the increased cigarette excise tax than females. (4) Conclusions: Our research results not only give a deeper understanding of the impact of the cigarette excise tax, but also provide an important reference with which to guide future decisions concerning excise taxes imposed on cigarettes.

Standardised packaging, minimum excise tax, and RYO focussed tax rise implications for UK tobacco pricing.

BackgroundStandardised packaging for factory made (FM) and roll your own (RYO) tobacco was fully implemented in the UK in May 2017. Around the same time, several changes to the tax system were applied (a Minimum Excise Tax (MET) for FM products and tax increases weighted towards RYO products). The tobacco industry claims that standardised packaging will lower prices (a disincentive for quitting) by commoditising the product, yet had itself taken advantage of the previous tax regime to achieve large profits from premium brands while also keeping some products’ prices relatively low. Here we evaluate the impact of standardised packaging, the MET and the RYO focussed tax changes on price and industry profitability.Methods and findingsNielsen electronic point of sale (EPOS) data (May 2015 to April 2018) were used to calculate real (inflation adjusted) monthly price per stick overall, by cigarette type (FM and RYO) and by seven market segments. Trend estimation, using additive mixed models, assessed weighted average price (weighted by volume of sales) and tobacco industry net revenue changes. The beginning and end of the data series were compared in terms of: (a) average monthly price growth, (b) average monthly net revenue growth, and (c) undershifting and overshifting patterns after tax changes. FM and RYO real prices changed little over the 3-year period—overall prices rose by about 1p per stick. There was no evidence of commoditisation with prices of all FM segments (but not RYO) rising faster after the implementation of standardised packaging than immediately beforehand. The prices of the cheapest FM brands rose with the implementation of the MET. RYO price increases did not close the gap to FM pricing levels despite RYO focussed tax increases. Tax changes following the implementation of standardised packaging and the MET were more widely and quickly passed on to smokers in the form of higher prices than the tax change pre-implementation. The main limitations are first that because we do not know the exact mechanism by which Nielsen scales up sample data to provide UK estimates, we could only use data for a set three year period during which the same adjustments are made. Second, the tax and standardised packaging events were sometimes too close in time to separate their consequences statistically. Third, tobacco prices may also be affected by external factors such as changes in smokers’ disposable income or availability of electronic nicotine delivery systems.ConclusionsThere was no long-term lowering of tobacco prices after the implementation of standardised packaging as predicted by the industry. The introduction of the MET was successful in increasing the price of the cheapest FM cigarettes and narrowing the price gap between FM brands. The RYO tax increases were, however, insufficient to narrow the price gap between RYO and FM. Overall, undershifting became less extensive indicating that tobacco industry manipulation of the tax system which had previously kept cheap products available had declined. This suggests that standardised packaging and a MET will likely contribute to further declines in UK tobacco use.

Impacts of Excise Taxation on Non-Alcoholic Beverage Consumption in Vietnam

Vietnam is faced with the issue of increasing overweight and obesity, particularly among children and adolescents in urban areas. As a result, the government of Vietnam recently introduced a proposal to impose a special consumption tax on sugar-sweetened beverages (SSB) in Vietnam, as the drinks are causing negative health consequences for Vietnamese people. This research is aimed at evaluating the impacts of a 10% special consumption tax on SSB in Vietnam using the Almost Ideal Demand System (AIDS) model. We found that a 10% SSB tax will reduce SSB consumption by 11.4%. Consumers will switch to substitutes, leading to an increase in the consumption of milk by 2.3%, beer by 2.5%, dried tea by 2.2%, and wine by 1.7%. However, in the short run, the tax could lead to a decrease in consumer welfare due to higher SSB prices. In addition to people from better-off households, people from the ethnic majority group, most of which live in urban areas with a large number of children, have a relatively high welfare reduction.

The Impact of Excise Tax Increases on Ethyl Alcohol Sales in Lithuania

This article provides empirical evidence that the demand for ethyl alcohol in Lithuania is price elastic and the root cause of this elasticity is the competition between Lithuanian and Polish sellers. The basis for the emergence of competition lies in the price differences between the countries, which arise as a direct consequence of the Lithuanian government’s policy in the alcohol sector, which is directed towards reckless increases in excise duties. The increase in Lithuanian excise duties leads to a wider price gap between countries and in the first months after the increase results increases in prices. In subsequent months, Lithuanian importers and manufacturers tend to revise the assortment and costs, replacing more expensive goods with cheaper ones or slightly alter the markups. These changes are the main reason why demand in the domestic market gradually recovers. The price elasticity of demand predetermines the gradual recovery of the ethyl alcohol market, but each increase in excise duty reduces the manufacturers’ markups and (or) leads to the changes in product range, where higher-costs products are displaced by lower-cost products.

LEGAL REGULATION OF EXCISE TAXATION IN UKRAINE

Tax revenues are by far the most important source of revenue generation, and a well-functioning tax system is critical to successful economic performance. Various reforms have underlined that tax policy mismatch is one of the causes of the crisis in the country's economy. Taxes are divided according to their specific characteristics, so one of the defining features is how to collect them. Thus, depending on this, taxes are divided into direct, directly related to economic activities, and indirect, which are a premium to the price and are determined depending on the value added, turnover or sale of goods, works, services. The division of all taxes into direct and indirect taxes is of fundamental importance. With direct taxes, it is about specifying a person's ability to make tax payments, that is, taxing them directly. In the case of indirect taxes, they try to achieve the same goal in indirect ways and in another way: they tax the goods, including the amount of tax in the selling price, where it is paid directly by the consumer upon purchase. Excise taxes are one of the types of indirect taxes. The main reason for the widespread excise tax is the significant fiscal benefit of its application. Excise tax revenues represent a significant share in the structure of the state budget revenues, therefore, with proper organization of tax administration, excise taxes are the main source of high and stable revenues to each country's budget. In order to make a sound choice of directions for improving the mechanism of excise taxation, to strengthen the revenue base of the budget system of the country, to actively influence the state on socio-economic processes related to consumption of excisable products, further research on this issue is needed, as well as its improvement.

How Do National Firms Respond to Local Shocks?: Evidence from Excise Taxes

How Do National Firms Respond to Local Shocks?: Evidence from Excise Taxes

Optimization of a logistics network considering allocation of facilities and taxation aspects

Abstract This article analyzes the impacts of operational and tax changes in a logistics network, considering the location of facilities and the following taxes: the Brazilian State Excise Tax on Circulation of Goods and Services, the Import Duty, the Brazilian State Excise Tax in Tax Substitution, the Social Integration Program, the Contribution for the Financing of Social Security and the Brazilian Federal Excise Tax on Industrialized Products. The influence of incorporations and outsourcing of distribution services in solving global localization issues concerning various links in a chain suplly has also been considered. The problem was modeled and solved by the GAMS modeling language using Solver CPLEX. The proposed Mixed Integer Linear Programming model minimizes operating costs taking into account tax benefits and the best use of the credits related to the Tax on Circulation of Goods and Services of a multiproduct network. A real application involving a company in the animal feed production sector was developed. The results showed that the model allowed to evaluate conveniently how the choice of the facilities and the characteristics of the product flows impacted the overall costs of the system. The results also evidenced the need to make decisions based on the existing tax structure, since the scenarios without tax optimization generated substantial losses to the companies. This information added quality to the manager of the company studied.

Jövedéki szankciórendszer a dualizmus korában és a jelenkorban

Excise tax has a convoluted history. The current regulation roots in the excise duties of the 19th century and other consumption taxes concerning trade lottery, salt and spirits among other state monopolies. After the spread of tobacco in Europe, excise duties on tobacco appear. The present study is based on the thesis that today’s excise sanction system is based on 19th-century excise law institutions and related regulations. Consequently, there is a strong similarity between today’s and former excise sanctions.

Revolution against Empire: Taxes, Politics, and the Origins of American Independence by Justin du Rivage

Reviewed by: Revolution against Empire: Taxes, Politics, and the Origins of American Independence by Justin du Rivage Frank W. Garmon Jr. (bio) Revolution against Empire: Taxes, Politics, and the Origins of American Independence. By Justin du Rivage. (New Haven, CT: Yale University Press, 2017. Pp. 371. Cloth, $40.00.) Revolution against Empire masterfully synthesizes eighteenth-century debates over political economy and foregrounds them as a major cause of the American Revolution. Rather than concentrating on the American revolutionaries, however, Justin du Rivage focuses his attention on the discussions that unfolded across the British Empire between parliamentary leaders and colonial subjects who championed competing visions of empire. Examining the American Revolution in an imperial context helps to explain not only why the colonists rebelled but also why British officials stubbornly pursued tax strategies that so aggravated the colonists. Du Rivage argues persuasively that the American Revolution was "a revolution not for or against monarchy, but against the authoritarian transformation of the British empire" (4). The author introduces three competing groups that vied for influence in British politics in the second half of the eighteenth century. Establishment Whigs sought a commercial empire supported by a powerful military. Imperial expansion provided the source for economic growth, they reasoned, and therefore military spending should continue unabated. Establishment Whigs believed that existing revenues would be sufficient to fund current operations. Excise and consumption taxes would make colonial taxation unnecessary. The rising costs of maintaining empire provoked challenges from authoritarian reformers, however, who believed that fiscal austerity was necessary to repay the government's [End Page 541] immense loans. Authoritarian reformers promoted a vision of empire that emphasized order and centralization. Excise taxes initiated by the establishment Whig government had rendered British exports uncompetitive and encouraged moral disintegration and debauchery among the lower classes. Taxes on luxury would rein in licentiousness, authoritarian reformers argued, and taxes on subsistence goods would lower wages sufficiently to restore the competitiveness of British manufactures. Radical Whigs shared authoritarian reformers' concerns about corruption, but rejected both their premises and their conclusions. Less concerned about moral corruption among the lower classes, radical Whigs decried the proliferation of sinecure positions in government. Colonial trade, rather than exports, provided the lifeblood of the empire according to radical Whig pamphleteers. High taxes and commercial regulations threatened to suffocate trade and stifle growth. Radical Whigs proposed replacing the excise system with higher taxes on the landed gentry. Eliminating colonial taxes would promote free trade and foster a decentralized vision of empire. Du Rivage argues that historians have largely accepted authoritarian reformers' arguments at face value and treated imperial tax policy after the Seven Years' War as a foregone conclusion. Such interpretations ignore the arguments put forward by their Whig critics. While radical Whig arguments found strong support in the American colonies, du Rivage explains how authoritarian reformers came to dominate British politics on the eve of the Revolution. These reformers argued convincingly that colonial taxes were indispensable to maintaining the fiscal solvency of the empire. Colonial resistance provided support for their worldview. Unruly colonists appeared to be disciples of anarchy and disorder. Authoritarian reformers called for even greater administrative centralization and new taxes to force the colonists to submit. In this context, taxes not only presented a demand for revenue but also reflected imperial priorities. Du Rivage describes the outcome of this political polarization as an imperial civil war. The colonists declared independence not because they had developed a distinct identity but because they rejected "the empire that Britain was becoming" (204). Revolution against Empire complicates the traditional narrative of taxation and representation while simplifying the messy political economy distinctions that cloud the American Revolution. A major contribution of this work is in reconciling the transatlantic historiography. Historians of the revolutionary era have often neglected or misunderstood British [End Page 542] politics by suggesting a broader consensus existed in favor of parliamentary authority to tax the colonies (13–14). Du Rivage has marshalled an impressive number of pamphlets and essays to dissect and survey the intellectual history of the period. At times the author could give a better sense of the relative size of each of the respective factions. While most colonists found radical Whigs persuasive...

A Comprehensive Analysis Of Goods And Services Tax (GST) In India

The Goods and Services Tax (GST), implemented on July 1, 2017, is regarded as a major taxation reform till date implemented in India since independence in 1947. GST was planned to be implemented in April 2010, but was postponed due to political issues and conflicting interest of stakeholders. It is a comprehensive tax system that will subsume all indirect taxes of states and central governments and unified economy into a seamless national market. The primary objective behind development of GST is to subsume all sorts of indirect taxes in India like Central Excise Tax, VAT/Sales Tax, Service tax, etc. and implement one taxation system in India. The GST based taxation system brings more transparency in taxation system and increases GDP rate from 1% to 2% and reduces tax theft and corruption in country. The paper highlighted the background of the taxation system, the GST concept along with significant working, comparison of Indian GST taxation system rates with other world economies, and also presented in-depth coverage regarding advantages to various sectors of the Indian economy after levying GST and outlined some challenges of GST implementation.

Excise Taxation for Domestic Resource Mobilization

Most governments will have to raise additional resources to deal with the aftermath of the corona crisis. This paper argues that excise duties on drinking, smoking, gambling, sugar-sweetened beverages, plastics, fossil fuels, motoring, telecoms and platforms are the preferred instruments. In nearly all cases, excise duties improve the efficient allocation of resources, while reliance on them is consistent with an equitable tax system. Also, excise duties can be administered more easily than income and value added taxes. Current excise duties are way below efficient levels. It should be possible to triple their yield, especially in developing countries.

Comparative Analysis of Alcohol Excise Taxation and State Alcohol Policies in Russia and Germany

The influence of excise policy on alcohol consumption has been a focus of interest among Russian and international researchers. In Russia, the socio-economic effects of alcohol abuse are as damaging to the country as its health effects. This problem can be addressed by stimulating a shift of consumer preferences from spirits towards low-alcohol beverages, such as wine and beer. The purpose of this study is to evaluate the efficiency of state alcohol policies, in particular the price and non-price measures, in Russia and Germany and the influence of these policies on alcohol consumption. Based on our research findings, we are going to devise recommendations for improvement of the state alcohol excise policies in these countries. The hypothesis is that for Russia, a feasible solution would be to readjust its alcohol excise policy by increasing the tax burden on spirits and reducing the burden on low-alcohol beverages, which would change the price structure for different kinds of alcohol products. The research methodology involves the analysis of the current state and characteristics of alcohol excise taxation in Russia and Germany, the measures of the state alcohol policies implemented in these countries and their influence on tax revenues and alcohol consumption. We also conducted comparative analysis of the restrictive measures of manufacture, distribution, sale and consumption of alcohol products in Russia and Germany; the dynamics and types of alcohol excise rates in Russia and EU countries. Yet another question discussed in this study is the influence of restrictive measures, especially excise duties, on the amount and structure of alcohol consumption in Russia and Germany. Our study has shown the need to readjust the alcohol excise policy in Russia by taking into account the experience of Germany and other European states. For citation Iadrennikova E. V., Busse R. A. Comparative Analysis of Alcohol Excise Taxation and State Alcohol Policies in Russia and Germany. Journal of Tax Reform . 2020;6(1):54–72. DOI: 10.15826/jtr.2020.6.1.075. Article info Received February 10, 2020 ; Revised March 6, 2020 ; Accepted March 27, 2020

The Comparison of the Excise Tax Policy for Human Development in ASEAN

The purpose of this paper is to examine the excise policy to support human development inthe ASEAN Member States (AMS). This study uses a qualitative method. The results showedthat the excise tax policy had supported human development in AMS. The humandevelopment index in AMS has improved supported by an increase in the health andlongevity index, as experienced by Singapore, Brunei Darussalam, Malaysia, and Thailand.This is supported by the existence of an excise tax policy that imposes high tariffs and isimposed on various types of negative products. AMS has implemented an excise policy toprotect the health of its citizens through restrictions on the consumption of products thathave a negative impact on the health of individuals and society. Goods subject to exciserelated to health protection include: cigarettes, alcoholic beverages and sweetenedbeverages. The excise policy in AMS varies with the excise tax rate and the types of goodssubject to excise duty. Countries that charge relatively high excise tax rates include:Singapore, Brunei Darussalam, Malaysia, and Thailand. The countries that charge the mostvariety of negative products are Brunei Darussalam, Malaysia, the Philippines andThailand.

Cost-Effectiveness Of The Sugar-Sweetened Beverage Excise Tax In Mexico.

An excise tax of 1 peso per liter on sugar-sweetened beverages was implemented in Mexico in 2014. We estimated the cost-effectiveness of this tax and an alternative tax scenario of 2 pesos per liter. We developed a cohort simulation model calibrated for Mexico to project the impact of the tax over ten years. The current tax is projected to prevent 239,900 cases of obesity, 39percent of which would be among children. It could also prevent 61,340 cases of diabetes, lead to gains of 55,300 quality-adjusted life-years, and avert 5,840 disability-adjusted life-years. The tax is estimated to save $3.98 per dollar spent on its implementation. Doubling the tax to 2 pesos per liter would nearly double the cost savings and health impact. Countries with comparable conditions could benefit from implementing a similar tax.