Dear New York,I do not feel your pain.

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Rossum

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Yep, proof that when goobermint raises taxes beyond a certain level, they will actually get LESS revenue from them. In reference to income taxes, this is commonly referred to as the Laffer Curve, but here we can see it applies to excise taxes as well.
 

VNeil

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It's even more insane when applied to vaping and eJuice because the barriers to entry/avoidance are so low. In a few days Chicagoans will be paying a dollar or more per ml for retail juice. Has anyone else done the math on this? A $50 liter of 100mg Nic will make 33 liters of 3mg juice. In the meantime 33 liters of PG/VG can be had for not much more than $100.

That $150 of readily available and mostly basic consumer product will be attempted to be taxed for $34,000. Those of us with 3 liters of nic in the freezer are sitting on $100,000 of "potential tax".

In the meantime, anyone can mix those two products together to make $100,000 of untaxed product. We don't need land to grow tobacco, or vast open spaces to hide the obvious smells of a home distillery, don't need large copper stills. Just a couple of jars and maybe a few common syringes.

Back in prohibition most liquor was actually imported. That won't really be necessary here unless the gov't wants to put millions of people in jail to prevent the sale and distribution of nic.

Total insanity, at so many levels. I think it is ironic and maybe appropriate that this new tax is in Al Capone's old back yard. I'm waiting for street corner nic dealers to be shooting each other to gain control of their neighborhood markets. Insanity.
 
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sofarsogood

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I think it is ironic and maybe appropriate that this new tax is in Al Capone's old back yard. I'm waiting for street corner nic dealers to be shooting each other to gain control of their neighborhood markets. Insanity.
Classic political corruption is to tax people and use the money to pay off political friends and it gets wasted. Another way is ban or tax something so there can be an illegal trade then the crooked politician gets his cut under the table. It's fitting that there should be prohibition style corruption over ecigs in the home town of Mr. Capone.
 

twgbonehead

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Don't worry, NY has a policy in place to deal with this problem.

They are going to spend tens of millions to try to catch these evil tax avoiders, unsuccessfully. But it will translate to higher employment, and more overtime (which is a good thing, right?) And it won't be on the same budget line (since it's all about arresting criminals) so it's cool.

It's the "Laughter Curve" response to the excise excess-tax system.
 
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