Skip to comments.BIG TOBACCO'S SHOWDOWN IN THE WEST
Posted on 09/15/2006 3:44:26 PM PDT by bruinbirdman
California is poised to enact the largest one-time cigarette tax hike ever -- adding $2.60 per pack -- on top of an already existing 87 cent excise tax, bringing the average price for a pack of cigarettes to $6.55, says Nanette Byrnes in BusinessWeek.
The new measure is particularly worrisome for tobacco companies because of California's large share of the tobacco market; the state is home to 9 percent of all U.S. smokers.
In addition, cigarette makers argue that the tax is unfair, and an irresponsible spending of the public's money:
** The measure does not require that all tax money be spent on programs to help smokers quit or on treating smoker's illnesses.
** It needlessly includes an antitrust exemption for hospital companies.
** It will only lead to increases in untaxed counterfeits and buying from other states will hurt sales, undermining the tobacco tax revenue.
Despite the tobacco industry's efforts, many expect the mandate to pass easily. But that will not end the fight, says Byrnes. Other states are generating similar proposals:
** In Missouri, there is a court battle to get a measure that would increase taxes by 80 cents per pack on the November ballot.
** Several candidates running for office in Maryland, and some already in power, are pushing for a $1 per pack increase.
Source: Nanette Byrnes, "Big Tobacco's Showdown in the West," NewsWeek, September 11, 2006.
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I'm gonna buy me a small 7-11 on the NV side of the CA-NV border.....
.....On an Indian Reservation.
Yep, put it right there at Whiskey Pete's Casino, which is right on the California-Nevada border off I-15.
Don't know the current diff. between Calif. and Nevada cig. taxes, but Nevada is going to increase their cigarette tax revenue for sure.
These bass turds coming up with these taxes on smokes need to be taken out and shot. They are just a bunch of lowlife criminals.
Which is where we are buying our now! This makes me so freaking angry. They are ripping us off and taking away our rights as usual.
Whoo Hoo! The meat head strikes again.
Opps, "Buying Ours now" Sorry.
Tabacco should boycott California completely. Let them figure out how to fund their medicare and other programs! Big Tobacco, tell California politicians to go to Hell!
I take it you mean the real "Meathead" and not me. I'm the bonehead.
And they thought they had problems with smuggling people...just wait til this hits.
No one should ever be allowed to file a lawsuit for any reason.This is simply extortion disguised as law and the money is used to feed those who are NOT needy.
Anyone who votes for this is pond scum.
Hello black market and goodbye tax income to the state of California.
Black market and Internet orders:-)
My husband is a truck driver and will be purchasing ours in another state if this passes. They will be very busy with all the black market cigs and potential smuggling from otherwise law abiding citizens. I can't even tell you how pi$$ed off I will be if this passes. Whatever happened to "no taxation without representation"? I think I will work on a discrimination suit against the state. Smokers are a minority in this state.