RR No. 17-2025 — Amending Sections 3 and 4 of Revenue Regulations (RR) No. 16-2024 on the Updated Floor Price of Cigarette, Heated Tobacco and Vapor Products (Date Posted: July 18, 2025)

BUREAU OF INTERNAL REVENUE REPUBLIC OF THE PHILIPPINES DEPARTMENT OF FINANCE

Bringing In Revenues For Nation-Building PILIPINAS BAGONG

May 26, 2025

REVENUE REGULATIONS NO.0 1 7 - 2 0 2 5

SUBJECT Amending Sections 3 and 4 of Revenue Regulations (RR) No. 16-2024

on the Updated Floor Price of Cigarette,Heated Tobacco, and Vapor Products

TO All Internal Revenue Officers and Others Concerned

SECTION 1. SCOPE.-Pursuant to the provisions of Section 244 of the National Internal

preseribed floor price of cigarettes, heated tobacco products, and vapor products. Revenue Code of 1997, as amended, these Regulations are hereby promulgated to update the

SECTION2.AMENDMENTS.-Sections 3and 4 of RR No.16-2024 are hereby amended to read as follows:

for the subject tobacco products: "SECTION 3.FLOOR PRICE.-Provided hereunder are the updated floor prices

A.Cigarettes Packaging Pack Content per Packaging 20 sticks Landed Cost Cost/ Total Production 10.25 Excise Tax (2025 66.15 VAT(12%) 9.168 Total Tax 75.318 Floor Price 85.57

Ream 10 packs 102.50 661.50 91.68 753.18 855.68

B. Heated Tobacco Products Packaging Pack Content per Packaging 20 sticks Landed Cost Production Cost/ Total 19.04 Excise Tax (2025) 35.84 (12% VAT 6.59 Total Tax 42.43 Floor Price 61.47

PR JUL 18 2025 MEU U PFAINTERNA R UREAU C Packaging Vapor Products Pod Nicotine Salt or Salt Nicotine Pack Fil Packaging Content 2 ml per Production Cost/Total 200.68 Landed Cost (2025) 114.66 Excise Tax (12%) 37.84 VAT Total Tax 152.50 353.18 Floor Price

g: G TREVENUE CG on the Updated Floor Price of Cigarette,Heated Tobacco,and Vapor Products Amending Sections 3 and 4 of Revenue Regulations (RR) No.16-2024 REVENUE REGULATIONS Page 1 of 2

Packaging Disposable Disposable Prefilled Device Pod Pod Conventional Freebase' or Classic' Nicotine Packl Fil I Y Packaging Content 10 ml 10 ml 10 ml per Production Cost/Total Landed 110.80 97.52 90.00 Cost Excise (2025) 66.15 66.15 66.15 Tax (12% 19.64 18.74 21.23 VAT Total Tax 85.79 84.89 87.38 183.31 174.89 198.18 Floor Price

NOTE: The foregoing costs are based on submitted Manufacturer's/Importer's Sworn Statements.

of other documents/proof as to the actual price of the product that is higher than the identified floor price. The above floor prices shall only be used as reference for taxation purposes in the absence

"SECTION 4. PENALTIES.- Selling of tobacco products at a price lower than the combined excise and value-added taxes imposed under the law shall be prohibited.

punished with a fine of not less than ten (10) times the amount of excise plus value-added Under Section 145(C) of the NIRC of 1997, as amended, the seller of such products shall be

taxes due but not less than Two hundred thousand pesos (P200,000.00) nor more than Five hundred thousand pesos (P500,000.00), and imprisonment of not less than four (4) years but not more than six (6) years. XXX"

SECTION 3. REPEALING CLAUSE.- All existing rules, regulations, issuances or parts thereof which are contrary to or inconsistent with the provisions of these Regulations are hereby repealed, amended or modified accordingly.

SECTION 4.EFFECTIVITY.- These Regulations shall take effect fifteen (15) days following the publication thereof in the Official Gazette or the BIR's official website,whichever comes first.

GRECTO

Recommending Approval: Secretary of Finance 09 yUL 2025

ROMEO UMAG JR CommisSsioner of Internal Revenue

RECORDS MANAGEMENT DIVISION BUREAU OF INTERNAL REVENUE ioe

JUL 18 2025

1AR

B! ADMIN UNIT.1 w 9i5

on the Updated Floor Price of Cigarette, Heated Tobacco, and Vapor Products Amending Sections 3 and 4 of Revenue Regulations (RR) No. 16-2024 REVENUE REGULATIONS

Page 2 of 2