Tax stamps are affixed to certain documents and products to determine that tax has been paid on the same. They serve as a physical and legal symbol for the tax collected by the concerned authority. In India, tax stamps are generally used in the tobacco and liquor industries where they are affixed on cigarette packs, carton and liquor bottles.
The use of tax stamps
Tax stamps have been put to multiple uses – although unintentionally. Besides, being attached to the product for taxation, tax stamps are an evident proof that a product is authentic. It also serves the purpose of an anti-tampering seal, as it is placed over the opening of tobacco products or alcohol bottles. Moreover, tax stamps are imprinted with serialised code which is used for supply chain track and trace and production monitoring.
Why we need tax stamps?
Liquor and tobacco industries are witnessing a humongous growth but, there has also been a parallel rise of counterfeit products in both industries. According to a report by FICCI CASCADE titled ‘Illicit Trade: Fuelling terror financing and organised crime’, “The market of illicit cigarettes in India is worth 25,000 crores.” No wonder, the scale of counterfeiting in the entire tobacco industry can be assumed from these figures alone. The liquor industry is also facing the wrath of counterfeiting. The FICCI report states, “The grey market loss to the alcoholic beverage industry stood at INR 14,140 crore in 2014 with a rise of 150 per cent from the year 2012. This resulted in a huge tax loss to the government with an estimated revenue loss of INR 6,309 crore.”
Since liquor and tobacco products are highly susceptible to counterfeiting, therefore, it is essential that tax stamps with high-security features should be used to avoid the sale of fake products and restrict any further losses.
Holostik offers tax stamps incorporated with most sophisticated technologies.
Holostik offers tax stamps which incorporate different types of anti-counterfeiting technologies which encompass digital product authentication (QR codes & barcodes), holographic and non-holographic features. The company offers customised tax stamps as per the need of the consumer which helps in increasing tax revenues, curbing duplication, reducing the sale of hooch and deaths due to it and easy identification of genuine products.
Some of the high-security features which Holostik offers in its tax stamps are as follows: human readable variable data, machine-readable encrypted code, microprint, copy void feature, thermochromic inks, colour changing image, UV (ultra-violet) feature, user-defined screen, UV papers, security cuts, raster image etc.
Used prominently on substrates like cardboard, paper, PVC, glass, plastic and metal Holostik offers multiple variants of the tax stamps- as per client’s requirement. It includes holographic tax stamps, holographic tax stamps with taggant/talking pen, paper tax stamps and paper tax stamps with a holographic transfer.