The tax-in-price for cigarettes in Sri Lanka has reduced dramatically since 2020, falling below both the international benchmark of 75% and past norms in Sri Lanka. It fell to 68.8% for the most sold brand (MSB) and 69.9% for the lowest priced brand (LPB). LKR 9.4 billion in tax revenue was lost in 2024 on the MSB alone and transferred instead as profit to the producer.