Free Republic
Browse · Search
News/Activism
Topics · Post Article

Skip to comments.

New Tax Lowers N.Y. Cigarette Sales
AP | 8/06/02

Posted on 08/06/2002 3:31:28 AM PDT by kattracks

NEW YORK, Aug 06, 2002 (AP Online via COMTEX) -- Cigarette sales in New York plummeted almost 50 percent in July after the city raised the tax on each pack from 8 cents to $1.50, according to new figures from the city's department of finance.

New Yorkers purchased 15.6 million cigarette packs last month, down from 29.2 million packs in July 2001. But because the tax was so much higher, millions more tax dollars poured into city coffers - $12.3 million, compared to $2.3 million during the same period last year.

The new tax, which Mayor Michael Bloomberg supported to help close a record budget gap, drove the price of some name brands to more than $7 per pack.

There are no studies yet to determine whether New Yorkers are quitting smoking or simply taking other avenues to fix their nicotine cravings, such as online mail order buys or trips out of town.

Copyright 2002 Associated Press, All rights reserved




TOPICS: Culture/Society; News/Current Events; US: New York
KEYWORDS: pufflist
Navigation: use the links below to view more comments.
first previous 1-2021-4041-6061-8081-85 next last
To: grania
So, rich commuters coming to their jobs from homes in New Jersey or Connecticut can buy cheaper cigarettes every day, at home. And those not so fortunate have to make other arrangements to get their cigarettes.

Those "rich" commuters are bringing in a few packs for their pals who live in New York.

21 posted on 08/06/2002 5:43:04 AM PDT by CharacterCounts
[ Post Reply | Private Reply | To 3 | View Replies]

To: arm958
I don't know what's worse - the fact that they lie like that, or the fact that so many people believe the lies.

The Thruway lie is only my second-favorite Big Lie from Albany though - my number-one favorite is "Lotto money funds education!" Dunno if there's a NJ equivalent to that one, but sure, NY Lotto money funds education...by going into the state's general fund, where it pays for education. And every other damn thing the state spends money on ;)

22 posted on 08/06/2002 5:47:59 AM PDT by general_re
[ Post Reply | Private Reply | To 20 | View Replies]

To: kattracks; grania; goldstategop
Bloomberg inherited a deficit in the billions from Giuliani, a sizeable fraction of the budget. I believe he has cut spending significantly, making up a sizeable portion of the shortfall with cuts. As far as I can see, he's been quite responsible for a politician, and I don't often say anything positive about politicians. He's made serious efforts to avoid raising taxes any more than he had too.

I do think the amounts collected by the city in tobacco tax will go down though as the black market gets more organized, but probably never get lower than what they were collecting before this tax increase.

23 posted on 08/06/2002 5:50:11 AM PDT by Linda Liberty
[ Post Reply | Private Reply | To 1 | View Replies]

To: YOMO
But because the tax was so much higher, millions more tax dollars poured into city coffers - $12.3 million, compared to $2.3 million during the same period last year.

You really should read the article. Even thogh they dropped sales by 50% the tax rate is something like 18X greater. So unfortunately they made more money.
24 posted on 08/06/2002 6:05:48 AM PDT by Kozak
[ Post Reply | Private Reply | To 6 | View Replies]

To: kattracks
My uncle lived in a "Dry County" in Arkansas, and had to drive 60 miles each way to the county line to buy beer. And it was illegal to carry more than one six pack across the county line. As a result, he would make the trip once a month, and buy a truck full of beer, and bring it across the line when he knew there was nobody patrolling (which was most of the time).

The result of the regulation was that he always had a truck full of beer. Whenever he wanted a beer, all he had to do was go out to the coolers and get one. He wound up going out to that cooler an awful lot. I always thought that he would not have wound up drinking quite so much if it had not been for the "Dry" county.

I suspect the same thing is going to happen in NYC. Smokers are going to start making buying trips and coming back with case lots. As a result, every smoker is going to have a huge supply of cigarettes on hand, and smoking will increase.

25 posted on 08/06/2002 6:23:00 AM PDT by gridlock
[ Post Reply | Private Reply | To 1 | View Replies]

To: Bella_Bru
Let's see...we have seen several articles on the "evil" smokers "smuggling" smokes in from other states....so I think I know the answer to this one.

Yes! ROLL YOUR OWN! heh!


26 posted on 08/06/2002 6:30:13 AM PDT by SheLion
[ Post Reply | Private Reply | To 2 | View Replies]

To: grania
Maybe, just maybe, sometime a government will do something really radical. I'm thinking maybe spend less to balance the budget?

In Maine, Gov. King can't balance his BUDGET without taxing the smokers. Smokers in Maine have been carrying the state budget on their backs to keep the pet programs for the DemocRATS!

27 posted on 08/06/2002 6:33:58 AM PDT by SheLion
[ Post Reply | Private Reply | To 3 | View Replies]

To: grania
It costs $1.50 to get to New Jersey from New York City. There is large a shopping mall at one of the local stops for the PATH train in Jersey City, about 15 minutes on the train. How poor do you have to be for something like that to be beyond your means? (especially if your paying 7:00 for a pack of smokes?)
28 posted on 08/06/2002 6:37:09 AM PDT by tcostell
[ Post Reply | Private Reply | To 14 | View Replies]

To: tcostell
It costs $1.50 to get to New Jersey from New York City. There is large a shopping mall at one of the local stops for the PATH train in Jersey City, about 15 minutes on the train. How poor do you have to be for something like that to be beyond your means? (especially if you're paying $7.00 for a pack of smokes?)

ok...a $3.00 round trip. And, while cigarette smokers are there, they can shop in a New Jersey mall. So, tourists foolish enough to arrive in NYC without enough cigarettes for their stay will pay the tax...that'll give them a friendly "I love New York" feeling.

Another thing I envision is bus trips to casinos (especially if the Bridgeport, CT "indians" get tribal recognition) where people will save money on cigarettes, and spend it at the slots.

And this will all be fine, until the government still doesn't have enough money and they start aggresively taxing Big Macs and fries!

29 posted on 08/06/2002 6:49:49 AM PDT by grania
[ Post Reply | Private Reply | To 28 | View Replies]

To: Linda Liberty
As far as I can see, he's been quite responsible for a politician, and I don't often say anything positive about politicians.

Linda Liberal. You never say anything positive about a Republican politician. Perhaps since Bloomberg is a RINO or that his antismoking position is so liberal, you see fit to praise him.

He's made serious efforts to avoid raising taxes any more than he had too.

Did you read the article? From 8 cents to $1.50 per pack.

30 posted on 08/06/2002 6:58:49 AM PDT by Between the Lines
[ Post Reply | Private Reply | To 23 | View Replies]

To: kattracks
Smoke and Mirrors: Cigarette Taxes Vanish on the Web

"It's enough to take a smoker's breath away. After a July 1 tax hike, a single pack of cigarettes costs $8 in New York City, more than twice the national average of $3.75."

"After just one week with the new tax hikes, online retailers reported rising interest. "We're seeing a big increase," says Dan Colpetzer, manager of Seneca Smokes, an online tobacco retailer based in Lewiston, N.Y. "We're getting calls from all over the country, but especially New York City."

31 posted on 08/06/2002 7:02:26 AM PDT by SheLion
[ Post Reply | Private Reply | To 1 | View Replies]

To: randita
What happened to Delaware? They used to be fairly cheap there, with no sales tax.
32 posted on 08/06/2002 7:11:03 AM PDT by babaloo999
[ Post Reply | Private Reply | To 16 | View Replies]

To: Between the Lines
Linda Liberal. You never say anything positive about a Republican politician.

Huh? You are responding to comments about Bloomberg, who is a republican last I checked. You want to call him a Rino, but he's one of the few republicans I can name who actually cut spending. Your hero Bush has presided over a huge run up of spending.

I wrote: He's made serious efforts to avoid raising taxes any more than he had to.

You wrote in response: Did you read the article? From 8 cents to $1.50 per pack.

Did you read the article and what I wrote? This tobacco tax has raised 12 something million. Bloomberg inherited from Giuliani a budget deficit of several Billion. That's Billion with a B. He responded with a mix of budget cuts and a few tax increases. This tobacco tax increase ie a total of maybe 100 million a year, if it works. (My guess is, it will raise less as the black market becomes more efficient.) it addresses maybe 5% of his budget shortfall. He addressed the budget shortfall primarily by cutting spending. This was major efforts to avoid raising taxes.

33 posted on 08/06/2002 7:23:47 AM PDT by Linda Liberty
[ Post Reply | Private Reply | To 30 | View Replies]

To: Linda Liberty
You are responding to comments about Bloomberg, who is a republican last I checked.

He became a Republican in 2000. He had been a liberal Democrat before then. Maybe the next time you check he will be a Democrat again.

By the way Republican is spelled with a capitol 'R'.

34 posted on 08/06/2002 7:42:32 AM PDT by Between the Lines
[ Post Reply | Private Reply | To 33 | View Replies]

To: *puff_list

35 posted on 08/06/2002 7:46:01 AM PDT by KS Flyover
[ Post Reply | Private Reply | To 1 | View Replies]

To: grania
And this will all be fine, until the government still doesn't have enough money and they start aggresively taxing Big Macs and fries!

The same people behind the campaign against tobacco are gearing up to do it again to sugar, fat and the foods that contain them.

Lawyers find new target: The Big Mac


36 posted on 08/06/2002 7:46:50 AM PDT by SheLion
[ Post Reply | Private Reply | To 29 | View Replies]

To: Born to Conserve
Who is squirming, stuff your own for $0.80 a pack? I collect my butts, where would you like me to put them.
37 posted on 08/06/2002 7:47:33 AM PDT by ozone1
[ Post Reply | Private Reply | To 15 | View Replies]

To: Between the Lines
BLOOMBERG? DID SOMEONE MENTION BLOOMBERG???!!!!

Talk about a DOUBLE STANDARD!

38 posted on 08/06/2002 7:49:06 AM PDT by SheLion
[ Post Reply | Private Reply | To 30 | View Replies]

To: babaloo999
What happened to Delaware? They used to be fairly cheap there, with no sales tax.

DELAWARE? DID YOU SAY "DELAWARE???!!!"


39 posted on 08/06/2002 7:50:56 AM PDT by SheLion
[ Post Reply | Private Reply | To 32 | View Replies]

To: Between the Lines
He became a Republican in 2000. He had been a liberal Democrat before then.

I guess you're trying to tell me that there are no examples of Republicans cutting spending. If we want to find an example of a politician, we have to look for a Democrat, or at least a recent Democrat. Is that the point you're trying to make?

40 posted on 08/06/2002 7:51:45 AM PDT by Linda Liberty
[ Post Reply | Private Reply | To 34 | View Replies]


Navigation: use the links below to view more comments.
first previous 1-2021-4041-6061-8081-85 next last

Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.

Free Republic
Browse · Search
News/Activism
Topics · Post Article

FreeRepublic, LLC, PO BOX 9771, FRESNO, CA 93794
FreeRepublic.com is powered by software copyright 2000-2008 John Robinson