Wednesday, April 29, 2009

Excessive Cigarette Taxes Bad For Country

Excessive Cigarette Taxes Bad For Country

The federal government just increased the federal tax on tobacco and many states have increased their taxes on tobacco also. The lowest price for a carton of Marlboro cigarettes in New Jersey is now more than $70 including New Jersey's 7% sales tax. I have avoided going to New York City for many other reasons but I think the same carton would be very close to $100 there.

Congress this year passed an increase in the federal cigarette tax from 39 cents to just under $1.01 per pack, which took effect April 1, 2009 just a few weeks ago. Many states and some cities are looking to increase their excessive taxes on cigarettes even more. Cigarette prices have doubled and even tripled in price due to tax increases the past few years.

Most smokers are not billionaires like Mayor Bloomberg or millionaires like Governor Corzine who favor even bigger tax increases for cigarettes, but are rank and file Americans struggling to keep their heads above water. Even the rank and file Americans will buy cigarettes and continue to smoke despite the health risks because smoking is very habit forming and other reasons. The high cost of a carton of cigarettes is now a major expense for many people.

Struggling Americans will always prioritize how to pay for cigarettes with all of the other bills they have to pay and make the right decisions for them.

Some Americans will delay major purchases such as a new car, a new home, new furniture or appliances which is obviously bad for the economy right now. Some Americans will seek alternatives at the grocery store such as fewer fresh produce and dairy products and cheaper cuts of meat which is bad for their families especially children. They may be forced economically to just make minimum payment on the credit cards because they do not have anything left over to pay down what they owe which keeps them paying obscene interest charges for much longer than they should. They may be forced to make their clothes and shoes last longer because they cannot afford new ones. They may be forced to stay at home during vacation time because they have no money to go anyplace. Gift giving occasions will be less than the year before. Excessive taxing is cruel on rank and file Americans smokers and their families.

New York and New Jersey smokers can find cheaper smokes in Pennsylvania and even cheaper ones in Delaware. Smuggling is getting more popular as cigarette taxing goes up. It is immoral that Bloomberg and Corzine facilitate smokers to break the law to go out of state or to smugglers to buy cheaper cigarettes.

A more enlightened approach would be massive enrollments in free stop smoking classes. Many smokers need to try stopping several times before it they can stop smoking forever. I am sure stop smoking professionals have many additional ideas.

Many states, the federal government, and New York City are hard up on tax revenue and abuse smokers and their families with excessive cigarette taxes. Corzine, Governor of New Jersey has seen 4 cigarette tax increases since 2002 that now stands at $2.57 per pack and he is seeking an additional 12.5 cents per pack increase at this time. The states of New Jersey and Pennsylvania revenue from cigarette taxes have gone down since the last increases in each state. It is moronic to increase the cigarette taxes again when revenue dropped during the last increases. They think their public relations will be better if they are shown taxing the smokers.

There are better solutions for the states and the cities to balance their budgets than to raise taxes on smokers and their families. New Jersey should force the Abbott districts to pay their fair share of education instead of stealing the majority of state aid for education leaving other towns with next to nothing of the state aid. It is also cruel to make rank and file Americans and legal citizens pay the education and health costs of illegal immigrants. Illegal immigration used to be moderate with a few families, but now there are excessive numbers of illegal aliens in America and we cannot afford them. New Jerseyans are moving out of the state complaining about the high taxes. New Jersey citizens and legal aliens are wait listed at hospitals and clinics for health care because illegal aliens have taken the available appointments.

Redistributing the Abbott district education aid and sending the illegal aliens back to their home countries can save the average homeowner in New Jersey at least $1,000 each year initially and more in the future. And state revenue and spending will easily be better balanced without other draconian taxes such as the cigarette tax. Wake up Jon Corzine and the state legislature.

I cannot afford to pay for illegal aliens, but if I was Bloomberg a billionaire and Corzine a multi-millionaire I would be for sanctuary of my city or state until I realized the harm it caused the majority of my city or state's residents. Corzine is driven all over the state and he knows that each average homeowner pays at least $1,000 in taxes and is also blocked out of state funds for education for another $1,000 that has to be made up with local school taxes. It is time for Corzine and even Bloomberg to be honest.

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