RMC No. 49-2023: Updates the fIoor price of Cigarettes, Heated Tobacco, Vaporized Nicotine and Non-Nicotine Products and reiterates the imposition of corresponding penalties, sanctions and liabilities for noncompliance therewith

Key points

1. Updated floor prices. Cigarettes: ₱ 114.60 per pack of 20 sticks and ₱ 1,146.00 per ream. Heated tobacco: ₱ 120.40 per pack of 20 sticks. Salt nicotine pods: ₱ 200.00 for 2ml and ₱ 354.97 for 4ml. Freebase nicotine bottles: ₱ 179.20 for 10ml and ₱ 403.20 for 30ml.
2. Selling below combined taxes. Selling tobacco products at a price lower than the combined excise and VAT is prohibited. Violators are punished with the fine under the 1997 NIRC, as amended.
3. Penalties cited. Sec. 145 sets a fine of not less than ten (10) times the excise plus VAT due, but not less than ₱200,000.00 nor more than ₱500,000.00, and imprisonment of four (4) to six (6) years. Sec. 263-A, for heated tobacco and vapor products, sets a fine of ten (10) times the excise plus VAT but not less than ₱100,000.00, and imprisonment of two (2) to four (4) years. Sec. 254 on attempt to evade tax, plus Secs. 263 and 265, also apply.
4. E-commerce platforms. Under JAO No. 22-01, Series of 2022, platforms must verify that goods sold by online sellers are regulated, prohibited, original, genuine, licensed or unexpired. Under its Sec. 13, platforms are treated and held liable like online sellers for violations.

Who is affected

• Sellers of cigarettes, heated tobacco, and vaporized nicotine and non-nicotine products
• E-commerce platforms and e-marketplaces