Category Archives: taxes

Cute story from Connecticut about avoiding cigarette taxes

Connecticut

OK, this made me chuckle, and it kind of highlights some of the problems with states having wildly divergent cigarette taxes.

A gas station in Chester, N.Y., which is right on the N.Y.-Connecticut border, parked an ice cream truck at the far end of its parking lot, which is technically in Connecticut, so it could sell cigarettes for $1.35 less a pack than what they cost in New York. The Connecticut cigarette tax is $3 a pack, while the N.Y. tax is $4.35 a pack.

The gas station is using an old ice cream truck and according to the Connecticut Department of Revenue, it is legal.

This is kind of cute, but it also shows the problems with states having different cigarette taxes. If you have one state with a tax $1 a pack higher than a neighbouring state, then smokers will go to the trouble of crossing the border to load up on cartons of cigarettes. If they buy six cartons of cigarettes, they’ve just saved $60 in taxes. It also really ads to the black market of cigarettes, too.

Arizona considering tax on smokers, obese

state-flag-arizona
Hah, that race-baiting Arizona governer Jan Brewer is now suggesting that Arizona impose a tax on smokers and the obese.

Arizona Medicaid may consider a $50 annual tax on smokers and the obese. What I find it funny is that Republicans piss and moan the loudest about NANNY STATE, and these are the most fascist right-wing Republicans on the planet proposing this. For instance, diabetics who fail to follow their doctor’s order to lose weight would have to pay this tax.

I actually don’t have a strong opinion about this one way or the other (Private insurance companies already charge smokers and diabetics more for their premiums, so it is not a novel concept). Again, I just find it funny that such a right-wing douchebag state administration that got voted into office by “keep gubmint out of our lives” old people (who are probably getting Medicare and Social Security) is considering doing this, apparently out of sheer desperation because their Medicaid is broke.