News release

New duty in effect for incoming tobacco products

Ottawa, October 1, 2001... The Canada Customs and Revenue Agency announced that changes are coming into effect today for travellers who include tobacco products in their personal exemption entitlements.

A new duty now applies on previously exempted quantities of tobacco products. This new duty applies to personal exemptions claimed by Canadian residents, immigrants coming to settle in Canada and former residents who are returning permanently to Canada.

This duty does not apply to products marked: CANADA - DUTY PAID. DROIT ACQUITTÉ

The new rates for products without this mark are as follows:

Cigarettes: $10.00 per carton of 200
Tobacco sticks: $7.00 per carton of 200
Loose tobacco: $6.00 per 200 grams

The aim of this change is to reduce tobacco consumption by Canadians and to ensure equal tax treatment of Canadian tobacco products. This measure is part of the federal government's strategy announced last April to improve the health of Canadians by reducing tobacco consumption.

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