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Cigarette Tax Increases Accepted by More & More States

Published on March 22, 2010 8:17 AM

South Carolina legislators want after a long delay to increase the cigarettes tax. They proposed to discus about this proposal in the House starting with this week, proposal to raise 30-cents-per-pack in the cigarette tax. The goal of this new plan is to gives all incomes received from the cigarettes tax increase to the Medicaid Reserve Account.

But the main importance of this new plan isn’t where all the money goes, because it can reduce smoking, especially among minors. In this way, South Carolina will have fewer smokers than other states and countries.

South Carolina researchers declared that they found that every 10 percent raise in cigarette prices can reduces smoking among youth by 7 percent and even cigarette use by 4 percent. The officials supported the idea of a 93-cents-per-pack increase to put the state’s cigarette tax at $1.

At the very least, lawmakers should approbate the 30-cents-per-pack raise that’s in the budget. Better will be also if they would revise the suggestion to increase the tax by 50 cents or more per cigarettes pack.

The correct decision is not so hard to take. Researchers said that South Carolina’s cigarette tax, which hasn’t been raised in 33 years, is an absolute 7 cents per pack. This is, of course the lowest tax in the nation, because this cigarette tax is very low in comparison with some of it nearest neighbors.

For example states like Georgia, Tennessee and North Carolina have cigarette taxes of 37 cents, 62 cents and 45 cents per pack. Even though, Florida’s tax is $1.34 per pack. But the highest cigarettes tax in the nation is in New York, at $2.75 per pack.

Of course no one believes that South Carolina will raise its cigarette tax to the levels of New York.

However every year South Carolina spends more than $393 million curing smokers. For example last year, a 50-cents-per-pack raise was accepted by the House but got stuck in the Senate. This legislation had been supposed to bring $145 million in state income. Even the 30-cents-per-pack cigarette tax could bring more than $88 million in revenue, the researchers added.

In the past years, the discussion over the cigarette tax has failed because of long debates over how to use the revenue taken from this tax.

But now doesn’t matter if this money goes to fund tax credits, health care or to compensate other tax cuts. However it is also precise that raising the cigarette tax, given it big influence on ameliorating inhabitants’ health.

Cigarette Tax Increases Accepted by More & More States

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