Budget 2026: Tobacco, liquor prices to rise with new excise duties on Nov 1

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By DayakDaily

KUCHING, Oct 10: The government is taking stronger steps to protect public health by raising excise duties tobacco and 10 per cent on liquor products effective on Nov 1.

Prime Minister Datuk Seri Anwar Ibrahim said the measure is part of the Malaysia Sihat National Agenda to strengthen public health and encourage better living habits among Malaysians.

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“Under the new rates, cigarette duties will increase by 2 sen per stick, while cigars, cheroots, and cigarillos will rise by RM40 per kilogram.

“Heated tobacco products will increase by RM20 per kilogram of tobacco content,” he said when tabling the federal budget in Parliament today.

At the same time, the government will extend the import duty and sales tax exemption for nicotine replacement therapy products until Dec 31, 2027.

The exemption will also cover nicotine mist and nicotine lozenges to support those seeking to quit smoking.

Anwar said the additional revenue collected from tobacco and alcohol products will be channelled to the Ministry of Health (MOH).

The funds will support key initiatives such as the MOH Lung Health Initiative and treatment programmes for diabetes and heart disease.

“Prevention is better than cure. It is proposed that individual income tax relief for vaccination expenses be expanded to cover all types of vaccines registered and approved by the Ministry of Health (MOH),” said Anwar. — DayakDaily

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