One tax, two tax. Sin tax, poor tax.

[Jaundice James]

I’m super-duper happy that millions of children will now have health insurance that wouldn’t have otherwise. The intention for the new SCHIP bill couldn’t have been better or the recipients more deserving...

...all those Bush tax cuts for the rich are still on the books. You remember those don’t you? After Bush campaigned in 2000 on “the dignity of the White House” and was oh-ever-so-humble on the campaign trail...

...Cigarette taxes disproportionately affect the poor. This is true for a number or reasons...
http://www.examiner.com/x-1470-DC-Progressive-Examiner~y2009m2d4-One-tax-two-tax-Sin-tax-poor-tax-SCHIP-cig-facts




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[DJ13]

1. Obama severely dissapointed me by signing this bill into law

It violated every tenant of his campaign that highlighted how the middle and lower classes have been getting screwed over with taxes while the well off were getting all the breaks.

[catnhatnh]

2. If you want to see screwed see this:

http://www.democraticunderground.com/discuss/duboard.php?az=view_all&address=389x4986003

One tobacco tax increase is over 2,000% (NOT a typo).

[Venceremos]

3. Tobacco tax revenues are a declining and unstable revenue source.

Tobacco sales already decline 2 – 4% a year, and will decline faster because of the massive tax increases. But health care costs are rising 8 – 10% a year, so SCHIP cannot be properly funded through tobacco taxes.

Either millions more people need to start smoking, or existing smokers need to smoke a lot more to prevent SCHIP from having devastating budget shortfalls.

http://www.startribune.com/politics/national/11761436.html

[Hello_Kitty]

4. That's what worries me about this

Eventually the existing smokers are going to be tapped out. Then they will either have to find another "sin" to tax (junk food?) or create new smokers.

[Venceremos]

5. Or they could spread the tax evenly on everyone

That seems the fairest way to do it. Plus when you spread it out it's MUCH cheaper for the average taxpayer to bear.

[Jaundice James]

6. Seriously...

As if tobacco were the only thing that's bad for you. Tax soda pop.

Actually, they should just tax the profits of insurance companies. They're the ones profiting from all the healthcare problems anyway.

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[Venceremos]

7. Good idea

Don't know if it's true, but I've read that the big tobacco companies, such as RJ Reynolds, lobbied politicians for the SCHIP tax increases on roll-your-own, cigars, etc. Their theory is more people will buy their smokes now because nothing else is cheaper anymore.

So if true, big tobacco wins and everyone else loses.

[Jaundice James]

8. I can see...

I can see them lobbying to tax roll-your-own, but cigars? Nobody switches from cigars to cigarettes.

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[Venceremos]

9. small cigars

sorry, meant small cigars, the little cigarellos that come in various flavors. They're apparently popular among younger smokers, because they think they look cool. "People are using them as a cheaper alternative to cigarettes," says Nik Modi, a tobacco industry analyst at UBS, a securities firm.

Source: http://www.usatoday.com/news/health/2008-02-19-small-cigars_N.htm

[Jaundice James]

10. Oh, yeah...

You're right. I smoke those myself when I'm drinking as an alternative to cigarettes, now that you mention it.
I don't know about a CHEAPER alternative. I don't know who told them cigarellos were cheaper? They're about $11 for a tin of 20 for about a mid-quality cigarello. Now, they're going to be even more.

[Venceremos]

11. They're cheaper here

I smoked them for a little while, but couldn't handle the taste. Here they cost less - two packs of cigarellos is the same price as one pack of cigs. Oh, and I like your blog. Unfortunately, the cigar shop in Denver you profiled will probably go out of business under the weight of this tax.

[Jaundice James]

13. Yeah...

The good shops will suffer. The bad ones are charging such inflated prices they should just absorb the tax, or you won't notice it in their jacked up prices. I live in DC now. I haven't figured out what to do with the Cigars in Denver blog yet. -JJ

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[Dr.Phool]

12. Why don't we have a superstition tax?

Charge churches, and certain other "non-profits" property taxes for the taxpayer funded services they use.

[Jaundice James]

14. Tax bibles. That'll generate revenue. n/t