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Trinidad and Tobago doubled alcohol and tobacco taxes on CARICOM imports to boost revenue and health, sparking criticism over sudden implementation and potential economic harm.
Trinidad and Tobago has raised excise taxes on alcohol and tobacco from CARICOM countries by 100% effective October 17, aligning them with local product rates to generate $1 billion in revenue and reduce consumption.
The move, part of the 2026 budget, applies to beer, rum, cigarettes, cigars, and other products, aiming to support public health and fair regional trade.
Critics, including senators and business leaders, warn the sudden increase—announced without stakeholder consultation—could harm tourism, disrupt supply chains, raise prices for low-income consumers, and drive demand for cheaper or illegal alternatives.
Some question the projected revenue and health benefits, noting past tax hikes led to lower collections.
The Senate approved the measures in separate votes, with opposition and independents largely opposing or abstaining.
Trinidad y Tobago duplicó los impuestos al alcohol y al tabaco sobre las importaciones de CARICOM para impulsar los ingresos y la salud, lo que provocó críticas por la implementación repentina y el daño económico potencial.