Saturday, January 26, 2013
Cigarettes Tax By State
What are the downside of cigarette taxes?
The only downside I could think of is poor addicts who want a fix but can't buy some smokes. However, this may be a good thing to some people. I want a complete negative characteristic of cigarette taxes. It could be economic related or personal. Anyone got some?
Best Answer - Chosen by Voters
They artificially jack the price of a legal but addictive product.
The impact on the poor is far greater than the well-to-do.
In many cases, higher taxes trigger black marketing activity, often at the hands of orgainized crime.
Tax revenue is often lost to border states with lower tax rates.
Increased tax can result in reduced consumption and therefore reduced tax revenue.
The excuse often offered for raising taxes is that the increased revenue will go towards healthcare and cessation programs however most taxes go straight to the General Fund where it's not possible to accurately track where the money actually goes.
Altria Spokesman, Bill Phelps talks to Texas Insider TV about the state excise tax {SET} assessd on cigarettes and little cigars -- which both ...
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