Arm Your Tax Stamps with Next-gen Security Features

Jul 15, 2021 | Articles, Company News

Nano-optics reporting for duty: Arm your tax stamps with next-gen security features 

Tax stamps are the weapon of choice for governments and revenue authorities to authenticate tax payments and validate authentic products. The $117.9 billion tax stamp market is growing, and new nano-optic based holograms can serve the dual purpose of providing a record of payment of tax to authorities, and ensuring that the stamp, and hence the product to which it is affixed – is authentic. Even though 120 billion tax stamps are used annually, over 100 countries do not use tax stamps and may be allowing counterfeit goods into the country without tax revenues collected and without validating the authenticity and safety of the underlying products.

The changing global economy and additional factors have creating openings for new tax stamp markets, including the growing importance of excise taxes, their extension to other products and tax stamps for new cannabis and vaping products. Additionally, by 2023, tobacco products in at least 60 countries across the world will be obliged to implement secure authentication labels with tracking and tracing, in compliance with the WHO FCTC Protocol to Eliminate Illicit Trade in Tobacco Products.

Adoption of highly sophisticated and secure tax stamps

Only secure marks or generic seals on products have not deterred counterfeiters in the past. Novel tax stamps or tax stamps supplemented with security labels are advised to opt for banknote-level security features combined with OVDs with unique effects that are extremely difficult to replicate. The authentication effects like crisp colour shifts, unique visual effects, movement in certain directions and 3D stereo depth are tools that help enforcement officials quickly authenticate tax stamps in the field.

Our Solution

A new form of nano-optic hologram, created by Nanotech, has changed the security market by being virtually impossible to replicate without using multi-million dollar Electron Beam Lithography machines and decades of nano-optic experience. Our nano-optic security features help governments protect the public from counterfeit goods using solutions that are high resolution, durable, and can be applied onto various materials and substrates. Developed and researched in Canada, Nanotech’s nanotechnology-based solutions contain unique visual effects and elements such as movement, on-off, on-invisible, 3D imagery and colour-shift that are customized for each government’s precise needs. Nanotech’s products are also compatible with common traceability applications (QR codes and track and trace programs) and other tax stamp elements such as intaglio printing.

Sample: LumaChrome colour-shifting film for tax stamps:

KolourOptik security features for tax stamps:

Why adopt high-security tax stamps or nano-optic features to support your tax stamp? 

  • Difficulty to replicate: Nearly impossible to reproduce or reverse engineer due to Nanotech’s proprietary software algorithms and patented nanostructures, microstructures, and nano-fabrication techniques.
  • Secure: All production is done in a high-security inner zone which is surrounded by multiple layers of physical and logical security infrastructure. Nanotech already has end-to-end core competencies of working with Govts. for banknote features.
  • Shift from paper stamps: To secure, modern nano-optic/holographic tax stamps allows both users and authorities to self-authenticate and clearly distinguish valid products vs dupes.
  • Stump counterfeiters: A paper stamp with a ‘secure’ mark is easier to counterfeit compared to tax stamps backed by novel technology. Using legacy technology is as good as placing money directly into the hands of the counterfeiter.
  • Compatibility with Track & Trace systems.
  • Emerging markets – Can also be used as a security feature for revenue stamps on CBD & THC, soft drinks, controlled products, fuels, tobacco substitutes and more.
  • Health hazards: Most of us already know the dangers of counterfeit tobacco, cannabis, and alcohol to human life & economic productivity of a nation. An easy identifiable mark will not only help the public authenticate genuine products quicker, but also ensure Government revenues are protected.

Nanotech is committed to working closely with governments to arm their tax stamp projects with a sophisticated layer of high security features to meet the precise country requirements. A proactive approach is key to preventing Bad Actors. Feel free to contact us for our latest sample kit or to set up a meeting and discuss your needs.

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