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It's no wonder that 42 states and the District of Columbia have increased cigarette taxes since January 1, 2002, more than doubling the average state cigarette tax from 43.4 cents to 93.7 cents a pack. The average state cigarette tax will rise even more to 96.1 cents per pack in January 2007 when recently approved tax increases in Hawaii and Texas take effect.
Win #1: Fewer Kids Smoking
Studies, and experience in state after state, show that higher cigarette taxes are one of the most effective ways to reduce smoking among both youth and adults. Every 10 percent increase in the price of cigarettes will reduce youth smoking by about seven percent and overall cigarette consumption by about four percent.
Win #2: Higher Revenue for States
Every state that has significantly increased its cigarette tax has enjoyed substantial increases in revenue, even while reducing smoking. These funds have helped states balance budgets and fund essential services like health care, education and tobacco prevention programs. Contrary to tobacco industry arguments, cigarette tax increases are a reliable source of revenue for states. Read our Fact Sheet: Exposing Tobacco Industry Myths About Cigarette Taxes.
Win #3: Public Support for Tobacco Taxes
In national and state polls across the country, there is overwhelming public support for tobacco tax increases. Democrats, Republicans and Independents alike want elected officials to increase tobacco taxes to help prevent kids from smoking.
http://patrickjfitzgerald.blogspot.com
1) If one county in the state has that authority all counties in the state should have that authority.
2) I don't smoke, so the tax could hike to $5 a pack, and it wouldn't affect me.
3) If people are really concerned about children smoking and the detrimental effect smoking has on healthcare costs and insurance, they should push the state to outlaw the manufacture, sale, and use of cigarettes statewide.
4) Number 3 will never happen because all governmental entities see tobacco as a revenue source, and since people villify tobacco, those entities feel they can tax it at much higher rates than other products.
5) Follow the money.
Its a positive for health policy, would be more positive if the state wasn't taking all their tobacco money that was SUPPOSED to be for health campaigns and put it in general revenue. Don't even try to sell this new hike on the idea any of the money will go towards health improvement, though it should.
Every time the vices get another tax hike, you also stimulate crime: bootlegging, theft of the items, thefts to pay for the items. Something to figure into the equation.
Geez, I thought it was Friday.
Caffein is a health risk. Why not tax coffee and soda pop? Same with fast food. Just because you smoke doesn't mean you should be taxed to death.
Personally, the hypocritical governments, so over dependent on cig taxes, should do the right thing and BAN them to save lives. The truth is, they don't care as much about lives as they do about tax dollars. Think about it.
On a better note: Cheap Trick's "Rockford". Great CD for the weekend and good road trip music. Sounds like they are back at Ted's Warehouse in Charleston when they were doing the local bar scene. Love these guys!
I support a public smoking ban.
Instead, lets start taxing fat people... eh hem... excuse me, "calorically enhanced people". These waddlers are the next health epidemic. Type 2 diabetes, needed handicapped spaces to park, and all the other perks they get so their rights aren't offended. We could have a Chief Weight Officer drive around towns with a digital scale. When they see a full moon, they can whip out a badge, put the scale on a level surface and do a weigh in. Make the tax on a sliding scale (pun intended). 10% over the AMA's guide to obesity $20 per pound, 20% over $30 per pound and so on.
Speaking of parking, they could enfore the "Walk For Your Health" rule. If your morbidly obese, you have to walk everywhere. If your the size of Olive Oil, you get to park inside. Go Government! We need help to protect us from us!!!
As long as we sponsor the state lottery (about the lowest form of state-sponsored fraud and victimization that there is), I don't see anything wrong with imposing a high tax that raises revenue, helps public health, and lowers the state's medical bills all at the same time.
So what if it is a tax on addicts? It makes expensive recovery programs a good bit more affordable.
So what if people go to Indiana to buy their tobacco? Let their blood be on Indiana's hands, not on ours. We are, or at least should be, above that sort of thing.
Also, to buy cigarettes you have to show a state ID. That means it might be possible to track out-of-state purchases of cigarettes and apply a use tax to make up the difference between our taxes on tobacco and Indiana's taxes on tobacco.
Oh wait. It's 2006, not 1996.
Or, for all we know, they might jump on the bandwagon and raise their own taxes too, just because they could be a couple of points lower than us and still be attractive.
That still accomplishes our primary goal of encouraging public health. If we lose a little tax money on the margins, then it's a small price to pay.
Or we could wait for the federal government to step in and save us all.
But Rich specifically asked about counties' right to raise taxes, so why would smokers have to drive all the way to Indiana if they could just drive across the county line? Would we really lose THAT much revenue from border rats?
The counties bear much of the health care burden caused by tobacco. They should be able to offset those expenses.
do you really think that anyone who votes for this would not be tagged as voting for a tax increase when the next set of campaign ads rolls around in 2008?
Somehow I don't think this explanation would help. Lawmaker X: I didn't vote for a tax increase. I voted to let your county officials raise your taxes. My hands are clean.
Personally, I don't think it is anyone's business to tax these things, because people do all sorts of things that aren't healthy, but if they're gonna tax you puffers, how about sticking it to them and quitting. No source of taxation revenue if you don't smoke, right?
And Lovie, the difference is that tobacco use is everyone else's problem, because the state and feds pay for health care for a lot of old and poor folks who've got cancer cuz they smoked a whole lot.
And then there's this... http://www.mlive.com/news/statewide/index.ssf?/...
I wouldn't be surprised to see that approach in Illinois soon.
I still think extreme cigarette taxation as witnessed in Cook is folly. It gives politicians an easy copout to avoid making difficult fiscal decisions. Despite their high-minded claims of trying to get people to quit that's not what they want. Cigarette taxes are first and foremost for revenue generation. Smokers have been hammered enough. No need to kick them while they're down.
Even if you don't smoke, you pay higher medical premiums because of the health complications incurred by smokers. They're eating up more than their fair sure of the medical insurance they paid for.
I personally think a better solution would be higher medical insurance rates for smokers, but where does that stop? Obesity? Racial variation? High-risk lifestyles?
I'm not sure we need another taxing body to complicate the system, and once the foot is in the door it will likely swing wide open, so no, I don't think counties should be given this authority.
Is it fair that smokers balance the budget? Probably not. Do I care? Nope. It's a vice, so it's optional. Don't like the tax, don't buy it.
Smoke all you want. Lung cancer (or esophagus or any of the other cancers you may get) is a nasty way to go, but that is your own business. Go ahead and smoke. It thins the herd.
All that non-smokers care about is that you don't impose your carcinogens on us.
As a believer in local government, I believe that the local government should make that decision on the tax. If they want to raise the tax, let them. I don't see why the State of Illinois should tell Du Page County what it can and cannot tax. If people in Du Page don't like it, they can vote the bums out or move.
Call me odd, but I seriously think it is absurd to count on tax revenue from a variable that might fluctuate so much (how many people can you count on to keep smoking instead of quitting?).
Perhaps the real goal is to just tax them now for the healthcare costs that will accrue later (most likely a big part of it), but again, there are soooo many other things that people do that could land them in the hospital (reckless driving, eating themselves to death, drinking themselves a bad liver, etc.).
If they are trying to be the health police, then there's probably a method to the madness, but if you're going to COUNT ON the fact that X amount of people will smoke, and so therefore, this is a source of revenue to fund something else, then that's called GAMBLING.
Then again, the state needs revenue. It is pull-the-bunny-out-of-a-hat time in Illinois and the Improv Show at the national level.
Perhaps they need all the help and gambling they can dream up?
Anyways, I'm glad I quit smoking. Got stress? Listen to a heavy metal band instead. Great stress reliever.
The argument that smokers need to pay more to "society" to offset the alleged higher costs to "society" is blown out of the water when the state is bringing in LESS revenue.
Does anyone have Cook or Chicago revenue stats? I would think theirs has probably gone down also.
“It makes cents†has some facts horribly wrong and that shows their agenda has little to do with helping people, and more to do with controlling people.
Illinois state revenues from cigarette taxes are DOWN $31 million from FY 2005 to FY 2006.
“Every state that has significantly increased its cigarette tax has enjoyed substantial increases in revenue,…â€Â
That isn’t true and now you can’t believe any of those other stats either.
For every person who quits because of --evil dictator-like social engineering, five switch to rolling their own without using filters, increasing the particulate inhaled. We are teaching a new generation of children to smoke filterless tobacco. Brilliant.
And if you don’t think cigarette taxes affect you, think again. State revenues are down so where are they making up those revenues. From you. From the gasoline tax and the electricity tax that have gone up and everyone pays.
These anti-smoking crusaders should just come out of the closet and do what they really want done. Go amend the Constitution to ban cigarettes, and if you can’t, leave people alone and deal with it.
Oh yeah, and high cigarette taxes leads to a black market which puts money into the hands of terrorists like Hamas who has already made a profit in the US off black market cigarettes. It’s already happened and will happen more. If you support this measure you -may be helping- terrorists.
And when counties are given this “home rule†power, everyone will start seeing their water bills and electric bills and gas bills and phone bills and …. going up and up as they keep tacking on taxes. Chicago already adds a 13% tax on electricity.
This cigarette tax insanity needs to end. They should take back Cook’s power to tax them instead of giving it to everyone else. State cigarette revenues will decline even more if this goes through and ALL non-smokers will be paying that price and then some.
If activity is legal it shouldn't be taxed?
Is that really your argument?
So much for the property tax.
It's better that government doesn't have the power to use taxes for social engineering or people that disagree with you on an issue may use it against you. It's one thing to use a cigarette tax to cover the cost of cigarette regulation, and entirely another thing to use it for social engineering.
So Skeeter, would you support a $2,000 tax on an abortion procedure to reduce the number of abortions?
However, your argument about social engineering appears to be deliberate dishonest.
Taxes are INEVITABLY social engineering.
We use the tax system constantly to promote conduct.
The mortgage deduction.
The charitable contribution deduction.
Deductions for medical care.
Do you want to abolish those?
Aren't those social engineering? Aren't those a way to encourage people to buy homes and donate to charity or to give those hard hit with medical bills a break?
Be intelletually honest. You don't mind government promoting home sales or charitable contributions.
You just don't want government messing around with your cigarettes.
Even better, get rid of the tax on work altogether which will encourage even more people to buy homes and donate to charity and pay medical bills.
Yes, I do mind selective income tax deductions where politicians pick and choose what to reward and not reward. Why not a rent deduction so people can save to buy a home, instead of only giving a break to higher paid people that can afford it? Why not a cigarette tax deduction so they can afford to pay more for health insurance. I'm definitely opposed to complicated income tax codes and selective rewards. Good try though.
Read the studies at this website
http://www.tobaccofreekids.org/reports/prices/r...
Then let's discuss the "facts"
-Illinois state revenues from cigarette taxes are DOWN $31 million from FY 2005 to FY 2006.-
Go ahead and tackle that one on the table first buddy.
According to the World Bank: Myth 6: Governments will lose revenues if they increase cigarette taxes, because people will buy fewer cigarettes.
Reality: Wrong. The evidence is clear: calculations show that even very substantial cigarette tax increases will still reduce consumption and increase tax revenues. This is in part because the proportionate reduction in demand does not match the proportionate size of the tax increase, since addicted consumers respond relatively slowly to price rises. Furthermore, some of the money saved by quitters will be spent on other goods which are also taxed. Historically, raising tobacco taxes, no matter how large the increase, has never once led to a decrease in cigarette tax revenues.
I am sorry to be pedantic in response to someone who knows as much as you purport to know, but that is a ridiculously flimsy argument. Condoms save lives and save taxpayer money. They aren't foolproof (though woe to the poor sod who says so in a sex ed class), but they usually work, and work well. We WANT more condom use, not less.
Smoking kills and costs a whole lot of taxpayer money. There's no comparison here.
Please take your argument and go home. This is the grown-up table.
It's time for the tobacco companies to concede defeat and fade into historical disgrace along slaveholders and lynch mobs.
It never fails to take me by surprise when certain people believe that making sure someone else lives the way those people think they should via legislation is something to be proud of. I'm old enough it should not surprise me, but it still does. It also leaves me wondering which one of us grew up in another country.
It makes cents still isn't making any sense due to the FACT that Illinois cigarette tax revenue is DOWN $31 million for FY 2006. What's the World Bank have to say about that?
Seeing how the cigarette excise tax wasn't raised (it is .98 per pack) your argument is a non sequitur. Cigarette smoking is down, could that be the reason? Anyways, looking at two years of data is hardly longitudinal. Check out funds 0049 and 0050 @ http://www.wh1.ioc.state.il.us/Expert/Rev/ERCon...
BTW I trust the World Bank more than Illinois' creative budgeting process.