Smoking taxes burn some holes

Washington Times ^ | 7/22/02 | Bruce Bartlett

[kattracks]

A new report from the Federation of Tax Administrators shows that 17 states have raised their cigarette tax rates so far this year. These increases will exacerbate an already serious interstate-smuggling problem, which has been linked to terrorist activity. They will also further burden the poor, who bear the principal brunt of cigarette taxes.

[Kerberos]

"However, as long as tobacco remains a legal product and there is a wide divergence is state tax rates, there is a severe limit on what they can realistically do. "

Uh oh, this sounds like a justification for an across the board federal tax.

[chnsmok]

These increases will exacerbate an already serious interstate-smuggling problem, which has been linked to terrorist activity

 

When Washington was putting people in jail  for "tax evasion for buying cigs in Idaho"(my betterhalf said do we live in another country?),  I began buying roll your our own supplies on the internet. Now I am a terrorist????

[chnsmok]

roll your our

roll your own.... I am calm now...for a while

[mark beoluke]

I work at a Meijer store in Michigan. What will probably happen after the price increases by $.50 is to have better sale prices. This of course hurts the business. If they have to raise taxes like this they should lower other taxes like gasoline, but no, they have to pay for more spending programs.

[laredo44]

Even liberal groups like the Center on Budget and Policy Priorities are now warning states against expecting too much revenue from higher cigarette taxes. The CBPP is also concerned that those with low incomes, who tend to smoke in higher numbers than those with high incomes, may be unduly burdened. It suggests that some sort of tax rebate to low-income smokers be instituted.

Just when I thought liberals couldn't twist themselves into a more convoluted pretzel, this. They are actually suggesting that rich folks pay the cigarette taxes for poor people. I'm simply stunned!

[Bella_Bru]

Ping!

[Sacajaweau]

The taxes placed on cigarettes is nothing more than legalized prohibition and it is stated as one of the goals..to make them unaffordable.

It is also a disciminatory tax; grossly unequal to other commodities we purchase.

Sac

[KS Flyover]

Bump

[Bama_Fren]

Now that you've rolled your own and calmed down would you like a big cup of coffee this morning?

[apillar]

The comment about the cig tax evaders being terrorists reminded me of something. It seems terrorism is the new buzzword in Washington by democrats.

Last week during some committee hearing on the new homeland security department I was watching on c-span a democrat women congressman by the name of Dalauro or something to that effect, she actually said that we needed to spend more money for police, after school programs etc. to help combat the increaseing crime rate due to innercity TERRORISM.

I kid you not.

I predict within a few months you will hear statments such as these from the democrats:

We need to fight this corporate accounting TERRORISM on American stockholders.

Drilling for oil in the Arctic Wildlife Reserve is enviromental TERRORISM by George bush and big oil.

No prescription drug coverage is TERRORISM against seniors.

Bush's plan to invest 2% of Social Security in the stock market is a TERRORIST attack on Social Security.

Pro-life judicial nominees are a TERRORIST attack on a womens right to choose.

We need more gun control because the children deserve to live in a country free from the TERRORISM of guns.

I could go on and on but I hate to give them ideas.

[SheLion]

As much as politicians and anti-smoking zealots hate to admit it, there are limits to how much states can tax tobacco. At some point, they may have to admit that the spillover consequences of high cigarette taxes might be worse than the effects of smoking.

[Caipirabob]

Now that you've rolled your own and calmed down would you like a big cup of coffee this morning?

STOP! You're giving me chills! Good point, though...BIG CAFFEINE IS NEXT!

Except no one...NO ONE GETS BETWEEN ME AND MY JAVA!

FMCDH!

[chnsmok]

Now that you've rolled your own and calmed down would you like a big cup of coffee this morning?

 

Rolled my own, drank my coffee, am now going to take the dog for a walk. Morning all!

[George W. Bush]

Smuggling is simplified by use of the Internet. Low-tax cigarettes are often available there from Indian reservations, where state cigarette taxes are not collected. You pay with a credit card and they are delivered directly to your house.

The article fails to mention duty-free international sales.

You can buy premium brands for $21-$24 a carton, shipped from Switzerland by Swiss Air Mail. Instead of a state tax stamp, they are stamped tax exempt. These are the same cigarettes sold in the international airports.

I expect they'll move to close this loophole soon. A smoker can save up towards $1000 a year this way.

[KS Flyover]

"The article fails to mention duty-free international sales."

Check out this article about the World Health Organization.

From the article:

The 22-page text proposes the gradual elimination of what the W.H.O. and many nations view as the pernicious use of advertising and sponsorships in the sports world, particularly in soccer and auto racing, but sets no timetable to achieve that goal. It also calls for eventual prohibitions on the duty-free sale of tobacco and for measures to combat cigarette smuggling.

[Great Dane]

Somebody gets it.

[Gabz]

As much as politicians and anti-smoking zealots hate to admit it, there are limits to how much states can tax tobacco. At some point, they may have to admit that the spillover consequences of high cigarette taxes might be worse than the effects of smoking.

I was saying this years ago - and got laughed at.

I love telling the anti-smokers I TOLD YOU SO

[Gabz]

Uh oh, this sounds like a justification for an across the board federal tax.

It's a scary proposition - but it won't help matters - no state is going to give up their cut of the pie.

[Just another Joe]

As much as politicians and anti-smoking zealots hate to admit it, there are limits to how much states can tax tobacco. At some point, they may have to admit that the spillover consequences of high cigarette taxes might be worse than the effects of smoking.

PING