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Sure will increase traffic into adjoining states, Louisiana especially!
The difference in TAX being what, $21 a carton???

Sure will increase traffic into adjoining states, Louisiana especially! The difference in TAX being what, $21 a carton???

Texas: $1.41 a pack, 16th-highest in the nation

Louisiana: 36 cents a pack, 42nd-highest

Not quite. $1.41 - $.36 = 1.05. There's 10 packs in a carton. That's $10.50 per carton in tax. Still worth the drive depending on how much you smoke and how far away you live.

Sure will increase traffic into adjoining states...

And the internet.

There is an interesting comparison here.

I live in Germany...the mega tax state. They use taxes not only to raise revenue, but to curb unhealthily lifestyles. So when the Greens came up in power seven years ago...they demanded to head the health ministry as part of that government structure. On their plate...was a tax increase for smokes...a two-part deal...both rather huge increases...over four years.

The tax revenue arm of the government was very happy and supported the measure...more taxes...more revenue. So the two groups pushed through the increase. Two years go by with the first increase, and suddenly the revenue guys announce that they are $500 million less than where they should be for the tax year, with the smokes tax. Chaos and emergency meetings occur...with the revenue guys in a difficult position...the new additional tax is six months away from enacting and they are losing alot of cash.

The Greens are purely happy...so are the anti-smoking nuts. They really believe that the less revenue and less sales indicate that they are finally making a difference.

The revenue guys go out and ask alot of questions. The customs folks finally tell them that there has been a huge increase in people shopping outside of Germany....in Poland, Czech, France, and Luxembourg over the past year. The customs guys are busting folks weekly for bringing in tons of smokes...illegally...more than ever before. By the time the revenue guys add up what the customs folks estimate is legally brought in (four cartons per day per person), and the illegal confiscation...they realize that a huge portion of their taxable assets is gone. They quickly act to halt phase two of the massive tax increase on smokes...which does not become law.

So today...if you live within 75 miles of the Luxembourg border (as I do)...and you need smokes (as my wife does)...then you drive over each quarter (to pick up my four and her four...all for her of course). We save 30 percent over what the German tax guy demands...plus we buy coffee and booze...usually at a 15 percent savings.

So for those folks in Louisiana....I'd put up smoke shops...right by the interstate entrance...and help them poor Texans out. Texas will discover in two years...that sales are down...which they will readily attribute to lower smoking numbers. Don't believe the story for one moment.

Sure will increase traffic into adjoining states,

No need to dirve out of town. Mexican gangs are already bringing cigaretts up from Mexico. Mexican gang bangers in Dallas have been selling cigaretts from Mexico for a month now. Word on the street is profits are just OK now but January 1 they will jump up.

I'd sure hate to be a smoke shop owner in the Texas half of Texarkana....