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

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Victorian companies could soon be beaten up to $ 1500 a year to sell tobacco, 9News can reveal.

In the last commitment to stop the Turf War, each store that wishes to sell Smokes will soon need a license, and Mary-Anne Thomas Health Minister says that the work is on the way to developing them.

The new licenses will not be cheap, and the government proposes the application and annual renewal rates of between $ 1100 and $ 1490 per store, and the industry is not impressed.

Melbourne, Australia - March 26: A photographic illustration of cigarettes in the black market that are exhibited on March 26, 2025 in Melbourne, Australia. The budget is expected to return to the deficit after two years of surplus, focusing on the measures of relief of the cost of living, including extended electricity reimbursements and the increase in health spending, while addressing the economic challenges and possible concerns of voters before the next federal elections. (Photographic illustration of Asanka Matnayake/Getty images)
Victorian companies could soon be beaten up to $ 1500 a year to sell tobacco. (Getty)

“We do not support the Government with its rank of rates proposed,” said the executive president of the Australian Association of the Convenience Stores Theo Foukkare to 9News.

“We would suggest around $ 500, which is where it is in Queensland.”

All other states and territory already have a license scheme, with victory the last and the most expensive to create one.

Only Tasmania is approaching, where it costs $ 1340 for a tobacco license, followed by NSW, where it costs $ 1100.

Other states and territories are much cheaper, including law ($ 638), Queensland ($ 474), South Australia ($ 340), Western Australia ($ 278) and northern territory ($ 282).

“The cost of doing business in the last three years has exploded and the last thing we need is a very high license rate,” Foukkare said.

He Victorian government admits online which can “disproportionately affect smaller companies”, but believes that the impact “will be relatively small because companies should be able to transmit the cost through the sale of tobacco and other products.”

“My concern about rates is that they are very high,” said Consumer Affairs Minister Tim McCurdy.

“People will pay the cost, Victorians will pay the cost.”

There are also concerns that high license rates can cause a larger crisis by encouraging retailers to operate in the black market, said Foukkare.

Companies have obtained about a month to present their case at a lower price before the new rates are established in the May budget.

The license scheme will begin on July 1, although no one will verify them until the middle of next year.

“They have been slow joining this, we approve the legislation last year,” said McCurdy. “You have to come a little faster than that.”

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