Behold The Tax Man Cometh
For anyone who had the stomach to watch the state of the nation speech last night you will remember Obama making a grand and deliberate statement about how those making less than $250,000 will have absolutely no tax increase. Not only that but they will have a tax cut according to Obama. I would like to take this time to expose just one of the lies involved in these statements. What our President failed to mention is that he has ALREADY PUT IN PLACE an ENORMOUS tax hike for ANYONE who uses any form of tobacco in their daily lives. This tax is what is going to pay for the bill to expand the State Children's Health Insurance Program (SCHIP). This tax will go into effect on April 1st, 2009. Here's the breakdown of the increases:
Cigarettes -- currently 0.39 tax per pack -- new tax 1.00 per pack -- increase of $0.61 per pack
Large Cigars -- currently 20.719% of price -- new tax 52.75% of price -- increase of 32%
Little Cigars -- currently 0.04 per pack -- new tax 1.00 per pack -- increase of $0.96 per pack
Pipe Tobacco -- currently 1.09 per pound -- new tax 2.83 per pound -- increase of $1.74 per pound
Chewing Tobacco -- currently 0.19 per pound -- new tax 0.50 per pound -- increase of $0.31 per pound
Snuff -- currently 0.58 per pound -- new tax 1.51 per pound -- increase of $0.93 per pound
Cigarette Papers -- currently 0.01 per 50 papers -- new tax 0.03 per 50 papers -- increase of $0.02 per 50 papers
With the new federal tax rates going into effect on April 1,2009 the SCHIP law also requires that retailers, wholesalers, and manufacturers pay a floor stock tax on cigarettes and all other tobacco products held in inventory at 12:01 A.M. on April 1, 2009. The floor stock tax equals the difference between the new rate of tax and the old rate of tax.
Now I am not an everyday smoker. I do, on occasion, like a good cigar or a nice pipe of tobacco. Usually when I am fishing. But the idea of taxing the heck out of one portion of the people in order to pay for your policies and then telling those same people that you WILL NOT raise their taxes is disingenuous to say the least. Maybe next year they will bow to the Goracle and tax carbon emissions. Or maybe they will up the taxes on alcohol. How about a tax on trans-fat? Or maybe they will put an extra tax on coffee? Who knows? Just because I am not a smoker does not mean that I think it is right to charge them ENORMOUS taxes in order to create bigger government. What's your opinion on this?
SMOKE 'EM IF YA CAN AFFORD 'EM!!!