§ Mr. Selwyn Gummerasked the Chancellor of the Exchequer how much duty was refunded on tobacco re-exported by British manufacturers in the latest available year and in respect of what weight of tobacco it was so refunded.
§ Mr. HigginsIn the financial year 1970–71, drawback of £230.044 million was paid on the exportation of 45,378,000 1b.* of manufactured tobacco, otherwise than from a bonded warehouse, naval victualling yard or army supply depot.
* Adjusted to standard moisture.
§ Mr. Selwyn Gummerasked the Chancellor of the Exchequer how much duty is levied per pound of imported cigarette tobacco; what weight of manufactured tobacco can be derived from one pound of imported leaf; and on which weight the refund of duty is calculated.
§ Mr. HigginsThe full rate of customs duty on tobacco containing 10 per cent. or more by weight of moisture is £5.041 per pound. The weight of manufactured tobacco that can be derived from one pound of imported leaf varies from product to product and from manufacturer to manufacturer. Where there is entitlement to refund or duty, e.g. on exportation or in respect of manufacturing waste, drawback is paid on the weight of manufactured tobacco or tobacco waste, adjusted for moisture content.
§ Mr. Selwyn Gummerasked the Chancellor of the Exchequer why Great Britain is apart from Eire the only present or applicant member of the European Economic Community to levy duty on tobacco by weight and not by value.
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§ Mr. HigginsDifferences in duty structure presumably reflect differing historical and other circumstances.
§ Mr. Selwyn Gummerasked the Chancellor of the Exchequer what is the duty payable on 200 untipped cigarettes imported from the European Economic Community countries and how this compares with the duty payable on 200 similar cigarettes manufactured in the United Kingdom.
§ Mr. HigginsThis depends on the quantity—and in the case of United Kingdom cigarettes the source—of tobacco contained in the finished cigarettes and this varies from brand to brand. In general, however, there is an effective difference of 21.85p per pound of tobacco content between the rate of duty charged on cigarettes imported from existing members of the EEC and the duty burden on typical cigarettes manufactured in the United Kingdom.