High-rollers told to prepare for taxes on luxury goods

By Craig Guthrie

The Mekong Times

Taxes on basic foodstuffs may be lowered at the expense of luxury goods such as high-end cars, cigarettes, alcohol and cosmetics, Hun Sen warned yesterday. He said it was an option the government is considering to tackle the current food inflation crisis.“Taxes on basic foodstuffs like rice will be dropped, but it will be raised on cars, make-up and drinks like Hennessy, Johnnie Walker, and [wine like] Randonal,” said Prime Minister Hun Sen, adding that, as for Randonal, he just knew the name and not the taste.But Hun Sen said he will continue to smoke even if higher tobacco taxes are imposed, he said, eagerly brandishing a pack of 555s. Despite widespread criticism and international conventions the premier said he refuses to give up the habit.Also in the firing line will be expensive cars. “Some government officials like to buy Landcruisers, Lexus and Mercedes. If purchases are taxed at just 1 percent, revenues would increase,” he said, adding that he thought the rich can afford it. Taxing the rich this way will level the playing field and is a “win-win” solution, said the premier. “This way both the rich and the poor can survive.”