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LAWS. 

 In the year 1897, the Government imposed an excise duty on 

 cigars and cigarettes manufactured in the island, and charged 

 also a duty for licenses for manufacturing and retailing. 



The Cigars and Cigarettes Law of 1897 enacted— that manu- 

 facturers of cigars and cigarettes should be licensed, and pay a 

 duty of 20s. on every 100,000 cigars made, and 5s. on any 

 number of cigarettes ; that every retailer shall take out a license, 

 paying a duty of 5s., for every place of business, and shall enter 

 into a bond ; that manufacturers shall pack cigars and cigarettes 

 in such receptacles as are approved by the Governor-in-Privy- 

 Council, to which a stamp shall be affixed ; that importers of 

 cigars and cigarettes shall affix a stamp to each package; and 

 that an excise duty be imposed and payable by means of stamps 

 at a rate for cigars of 6d. per 100 retailed at a price not exceeding 

 8s. 4d. per 100, of 2s. per 1 00 when retailed at a higher price, 

 at a rate for cigarettes of id. per 100 ; and provisions for bond- 

 ing and for keeping books. 



This law came into operation on June 20, 1898. The provisions 

 of the new law were felt to be onerous by those engaged in the 

 industry, and the results were disappointing to the Government. 

 The Collector General in his Annual Report for 1898-9 states :- 

 ' The newly levied duty on cigars and cigarettes between June 20, 

 1898 (the date of the coming into operation of the law) and March 

 31, 1899, yielded £2,543 or at a rate of about £3,400 a year. I am 

 free to confess that I am disappointed at the return from this source 

 of revenue, and at the reception the law met with on its being put 

 into operation. Everyone admits that cigars form a legitimate 

 object of taxation and that the duty imposed is a light one, and 

 well within the ability of consumers to pay, and the methods of 

 enforcement were practically those in force elsewhere, where 

 excise restrictions exist ; yet as soon as it was sought to put the 

 law into operation, it met with most strenuous opposition. By 

 relaxing many of the provisions of the Statute, the Department 

 has striven to collect the duty without friction, but it is manifest 

 that without a modicum of co-operation on the part of those 

 concerned, the law must either be a practical dead letter ; or the 

 alternative is for the Department to enforce it rigidly ; and this 

 would create friction and possible hardship. If a method can be 

 found whereby the restrictions on the trade are removed while 

 the duty, which is admitted to be a proper impost, can be brought 

 into the exchequer, there will be no longer any appearance of 

 excuse for opposition to the law.' 



The area of cultivation in 1 898-9 in St. Andrew and St. 

 Catherine fell off considerably— a large number of Cubans 

 having left the island. This exodus was no doubt partly due to 

 the close of the Spanish American War, but probably it was 

 largely increased by inability or lack of desire to conform with 

 the restrictions on the trade imposed by the new law. The 

 Government decided to alter the law in certain particulars, and 

 the Tobacco Duty Law of 1900 was passed, which repealed the 



