Victorian businesses selling tobacco may soon be charged up to $1500 a year

Victorian companies may quickly be slugged as much as $1500 a yr to promote tobacco, 9News can reveal.

Within the newest bid to stem the turf conflict, each store desirous to promote smokes will quickly want a licence, with Well being Minister Mary-Anne Thomas saying work is beneath strategy to develop them.

The brand new licences will not come low-cost, with the federal government proposing utility and yearly renewal charges of between $1100 and $1490 per store, and the business isn’t impressed.

MELBOURNE, AUSTRALIA - MARCH 26: A photo illustration of black market cigarettes displayed on March 26, 2025 in Melbourne, Australia. The budget is expected to return to deficit after two years of surplus, focusing on cost-of-living relief measures, including extended electricity rebates and increased healthcare spending, while also addressing economic challenges and potential voter concerns ahead of the upcoming federal election. (Photo Illustration by Asanka Ratnayake/Getty Images) — Victorian companies may quickly be slugged as much as $1500 a yr to promote tobacco. (Getty)

“We do not assist the federal government with their proposed payment vary,” Australian Affiliation of Comfort Shops chief government Theo Foukkare instructed 9News.

”We might be suggesting round $500, which is the place it is at in Queensland.”

Each different state and territory already has a licensing scheme, with Victoria the final and the priciest to create one.

Solely Tasmania comes shut, the place it prices $1340 for a tobacco licence, adopted by NSW, the place it is $1100.

Different states and territories are vastly cheaper, together with the ACT ($638), Queensland ($474), South Australia ($340), Western Australia ($278), and the Northern Territory ($282).

“The price of doing enterprise over the past three years has exploded and the very last thing we want is a really excessive licence payment,” Foukkare stated.

The Victorian authorities admits on-line that it could “disproportionately affect smaller companies”, however believes the affect will “be comparatively small as a result of companies ought to be capable of cross on the fee via the sale of tobacco and different merchandise”.

“My concern across the charges are they’re very excessive,” Shadow Minister for Shopper Affairs Tim McCurdy stated.

“Folks can pay the fee, Victorians can pay the fee.”

There are issues too that top licence charges might spark an even bigger disaster by doubtlessly encouraging retailers to function within the blackmarket, Foukkare stated.

Companies have gotten round a month to make their case for a lower cost earlier than the brand new charges are then set in Could’s finances.

The licensing scheme will then begin on July 1, although nobody can be checking them till the center of subsequent yr.

“They have been gradual pulling this collectively, we handed the laws final yr,” McCurdy stated. “It wants to come back a bit faster than that.”

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