Border News Agency
Mrauk-U, August 26

The Central Tax Department of the United League of Arakan (ULA) says that it has increased taxes on tobacco, alcohol, and beer products by up to 50 percent of their value, with the aim of reducing the negative impacts of these products on public health in areas controlled by the Arakan Army (AA).

The department said that the increased taxation on tobacco and alcoholic beverages was introduced around 2020.

According to the Central Tax Department, its taxation policy is people-centered, with priority given to ensuring that taxation does not place an excessive burden on the public. Tax rates are adjusted depending on the type of goods and the prevailing circumstances in each period and area.

As a result, basic food and essential goods are either exempt from taxation or subject to the lowest possible tax rates, while higher taxes are imposed on products that may negatively affect public health.

The department also said that the tax revenues collected are systematically used for public-interest activities, including defense, security, education, healthcare, road and bridge construction, and assistance to internally displaced people (IDPs).

The Arakan Army has reportedly captured and established control over 15 townships, including the Paletwa area, during the Arakan offensive and has since been developing administrative mechanisms under what it calls the Arakan People’s Revolutionary Government.

In areas controlled by the AA, taxes and fees are being collected under the leadership of the Customs and Tax Department of the Arakan People’s Revolutionary Government.

However, local residents in Arakan have criticized the authorities, saying that the actual amounts being collected on the ground are higher than those stated in the official announcements of the Customs and Tax Department.