Proposed Tobacco Tax Increase Will Simply Encourage More Smuggling
State legislatures across the country have piled on the tobacco taxes over the past decade. Not surprisingly, this has created a growing problem of tobacco smuggling. As the tax rate rises, it encourages people to buy products from low-tax states and sell them illegally in high-tax states.
New York is the most obvious example of this problem. The Empire State has a tax rate of $4.35/pack, far higher than most other states. As a result, an estimated 57% of all cigarettes sold in New York are brought in by smugglers.
http://oregoncatalyst.com/30079-proposed-tobacco-tax-increase-simply-encourage-smuggling.html
Related Posts
Smuggling, gas, FX threaten survival of Lucky Fibres
Incessant smuggling of textile products into Nigeria, gas shortages and foreign...
Sri Lanka raids fake ICC T20 clothing stores
Sri Lanka's police raided a factory turning out counterfeit ICC World Twenty20...
7 held over fake washing powder
Sars officials and Joburg police cleaned up a dirty operation in Doornfontein on...
Indore: Police seize counterfeit cigarettes worth Rs 3L
Indore (Madhya Pradesh): A crime branch team caught a man selling counterfeit...