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Veto threat looms over insurance measure [a 61-cent-a-pack increase in the tax on cigarettes..]
Yahoo ^

Posted on 07/18/2007 11:09:52 AM PDT by Sub-Driver

Veto threat looms over insurance measure

By DEB RIECHMANN, Associated Press Writer 11 minutes ago

President Bush on Wednesday reiterated his threat to veto Senate legislation that would substantially increase funds for children's health insurance by levying a 61-cent-a-pack increase in the federal excise tax on cigarettes.

The tax increase would be used to subsidize health insurance for children and some adults with incomes too high to qualify for Medicaid but not high enough to afford insurance on their own.

The renewal of the State Children's Health Insurance Program, or SCHIP, is considered by many to be the most important health legislation that Congress will take up this year.

"Members of Congress have decided, however, to expand the program to include, in some cases, up to families earning $80,000 a year — which would cause people to drop their private insurance in order to be involved with a government insurance plan," Bush said in a speech in suburban Maryland.

"If Congress continues to insist upon expanding health care through the SCHIP program — which, by the way, would entail a huge tax increase for the American people — I'll veto the bill," he said.

Democratic leaders called for adding $50 billion to the program over the next five years. Bush had recommended a $5 billion increase.

On Friday, a bipartisan group of lawmakers in the Senate signaled their support for a $35 billion increase, bringing total funding to $60 billion over five years. The Senate proposal would provide health insurance coverage to current participants as well as an additional 3.3 million uninsured children, according to estimates from the Congressional Budget Office.

(Excerpt) Read more at news.yahoo.com ...


TOPICS: Front Page News; Government; Politics/Elections
KEYWORDS: cigarettetax; schip
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To: capt. norm
It would be financially hard to maintain the habit at today's prices

ROFL - We pay between $6 and $7 a carton.

21 posted on 07/18/2007 12:27:28 PM PDT by Gabz (Don't tell my mom I'm a lobbyist, she thinks I'm a piano player in a whorehouse)
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To: Gabz

This is perverse, as the poor are the smakers. Now they have to pay for those who have more money.


22 posted on 07/18/2007 12:32:31 PM PDT by ClaireSolt (Have you have gotten mixed up in a mish-masher?)
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To: samtheman

“What happens if the taxes on cigarettes increase so much that people stop smoking? What will the tax then?”

Oxygen


23 posted on 07/18/2007 12:37:04 PM PDT by driftdiver
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To: ClaireSolt

Bush supports low cost cigarettes for all Americans, including women and small children. /sarc


24 posted on 07/18/2007 12:37:38 PM PDT by jamndad5 ("I ask, sir, what is the militia? It is the whole people, except for a few public officials.")
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To: ClaireSolt

Bush supports low cost cigarettes for all Americans, including women and small children. /sarc


25 posted on 07/18/2007 12:37:59 PM PDT by jamndad5 ("I ask, sir, what is the militia? It is the whole people, except for a few public officials.")
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To: Freedom4US
..... “bootlegging” will become a very large industry.

It already is.

26 posted on 07/18/2007 12:40:33 PM PDT by Gabz (Don't tell my mom I'm a lobbyist, she thinks I'm a piano player in a whorehouse)
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To: Gabz

Thanks for the ping!


27 posted on 07/18/2007 12:41:52 PM PDT by Alamo-Girl
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To: Gabz
Same here.

When they start slapping a confiscatory tax on loose tobacco, black market here I come.

I imagine beer drinkers are in their sights even as we speak.

Just Budweiser and stuff though. Precious little micro-beers and wine will be exempted, under the "you don't crap in your own back yard" rule.

28 posted on 07/18/2007 12:44:09 PM PDT by Madame Dufarge
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To: Sub-Driver

Creeping socialism.

Also, if taxes make cigarettes too expensive, it will stimulate an underground economy for cigarettes. This is a big problem in Germany, where legal, taxed cigarettes are very expensive.


29 posted on 07/18/2007 12:45:56 PM PDT by GeorgefromGeorgia
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To: Sub-Driver

Yeah, right. Now, the fat police are weighing in. Have you ever priced a package of bologna?


30 posted on 07/18/2007 1:11:32 PM PDT by freekitty
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To: samtheman

I say cell phones that is what they should tax the he%% out of enough idiots have them wouldn’t need to be too large of a tax.


31 posted on 07/18/2007 2:16:06 PM PDT by CONSERVE
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To: the_devils_advocate_666

You have mail.


32 posted on 07/18/2007 3:40:19 PM PDT by cgbg (Hillary's mob has plans for our liberties--hanging fruit.)
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To: Sub-Driver
President Bush on Wednesday reiterated his threat to veto Senate legislation that would substantially increase funds for children's health insurance

Damn baby killing bush.......... /sarc

For the record tho, my gov (perky Gov. Granholm) admitted that the latest tax on tobacco was to fund the state coffers for an overspending state budget. Evidently she and the state had worn out the sameo-sameo excuse of blaming the smokers for the increase in healthcare in Michigan........but they still need our money LOL!

33 posted on 07/18/2007 3:57:42 PM PDT by Hot Tabasco
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To: samtheman

No, what we will see is something like prohibition. There will be a huge black market created for the sale of cigarettes.


34 posted on 07/18/2007 3:59:51 PM PDT by kabar
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To: hermgem
What happens if taxes on cigarettes increase so much that people will stop smoking. What will they tax then?

YOU! States such as Michigan are now losing millions in revenues because smokers are going out of state for their purchases. They are now trying to recover those losses by going after the records of out of state internet sellers to find out who purchased what and when then sending the offenders their estimated tax bills.

Desperation breeds despotism...........

Not to change the subject but the next objective (as witnessed by the Colorado gov.) will be to go after the records of internet merchants to find out who bought what without paying state sales taxes then to go after them as they did with the evil smokers..........LOL!

Yep, them smokers is evil bastards who deserve what they gets...........

35 posted on 07/18/2007 4:05:37 PM PDT by Hot Tabasco
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To: Osage Orange

The Largest Tax Increase on any product in the Entire History of The United States is being seriously considered right now - and it's on CIGARS!

YOUR HELP IS URGENTLY NEEDED! The proposed taxes in the current Senate Finance Committee proposal will have a devastating impact on the cigar industry putting retail shops, mail order companies, distributors, cigar manufacturers, leaf tobacco growers and several hundred thousand workers in Central America out of business or out of work.

Under the current proposal, the cigar tax rate would increase an astounding 20,413% to a maximum of $10 per cigar! All large cigars would effectively be taxed at 53.13% of the manufacturer's selling price. In all of the Internal Revenue Code, no other product is subject to an excise tax that approaches this level. To compound the injury, a "floor stock" tax would be assessed on all products in inventory, and put a majority of the industry out of business in one fell swoop. Below is a list of Senators along with their phone numbers.

The full Senate is expected to consider the legislation next week, but possibly sooner. We need you to act NOW and immediately contact your U.S. Senators.

To assist you in composing your thoughts, here is what I communicated to my Senators:

This massive tax increase, the largest in the entire history of our nation, is not only unfair to cigar consumers and cigar retailers in this country, it poses a dire threat to several hundred thousand workers employed in the cigar industry in Mexico, Nicaragua, Honduras, Peru, Brasil, The Dominican Republic, Jamaica, Puerto Rico, The Cameroons, Costa Rica, Panama and other Third World Nations. The effect on those economies and the ill will it will create toward the USA is staggering to say the least, and will have to be offset with increased Foreign Aid which may negate the sum total of the revenue created by this horrific tax. I urge you to oppose this tax.

--------------------------------------------

36 posted on 07/18/2007 4:07:58 PM PDT by Libloather (That's just what I need - some two-bit, washed up, loser politician giving me weather forecasts...)
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To: Gabz

I love Pres. Bush!!
He at least knows this whole scam is BS.


37 posted on 07/18/2007 4:10:51 PM PDT by bfree (liberalism is the enemy of freedom!!!)
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To: Sub-Driver
Like we've been saying for years now...THIS IS NOT ABOUT CIGARS OR CIGARETTES...it's about Freedom from the fetid breath of tyranny in the name of a Socialist Utopia and the "greater good".


38 posted on 07/18/2007 5:07:44 PM PDT by Eric Blair 2084 (Alcohol, Tobacco and Firearms shouldn't be a federal agency...it should be a convenience store.)
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To: kabar
There will be a huge black market created for the sale of cigarettes.

There WILL be? It's been happening for years.

39 posted on 07/18/2007 6:55:39 PM PDT by Gabz (Don't tell my mom I'm a lobbyist, she thinks I'm a piano player in a whorehouse)
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To: bfree

Anyone with a room temperature IQ knows this whole scam is BS, they may not admit it, but they do know it.


40 posted on 07/18/2007 6:57:59 PM PDT by Gabz (Don't tell my mom I'm a lobbyist, she thinks I'm a piano player in a whorehouse)
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