Robert Dowds (Dublin Mid West, Labour)
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Question 126: To ask the Minister for Finance if he will consider not imposing extra tax on cigarettes on the grounds that it may encourage further tobacco smuggling. [35914/11]

Michael Noonan (Limerick City, Fine Gael)
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As the Deputy will be aware, taxes are considered in the context of the Budget process. It is the usual practice for the Minister for Finance not to speculate in advance of a Budget on what it will contain; and I do not propose to deviate from that practice.

Robert Dowds (Dublin Mid West, Labour)
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Question 127: To ask the Minister for Finance if he will consider eliminating the discrepancy that exists between the duty paid on different kinds of tobacco product, in particular cigarettes versus loose tobacco for hand-rolling, by imposing extra tax on products other than cigarettes; and if he will make a statement on the matter. [35915/11]

Michael Noonan (Limerick City, Fine Gael)
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I am informed by the Revenue Commissioners that the Tobacco Products Tax on cigarettes is expressed as a fixed amount per 1,000 cigarettes, together with a percentage of the retail price at which the cigarettes are sold. Tobacco products other than cigarettes, including fine-cut tobacco for the rolling of cigarettes, are taxed by reference to the weight of tobacco. When the tax rates for cigarettes and for other products are compared on the basis of the weight of tobacco, the taxation on cigarettes is higher than on the other products. I am aware of proposals from certain interests that the tax on tobacco products other than cigarettes should be increased relative to the tax on cigarettes. Any question of a change to the established relationship between the tax rates for the various products would fall to be considered in the Budget process.