White House leak claims Obama's budget proposal will increase cigarette and tobacco taxes

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Bill Godshall

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From today's NY Times
http://www.nytimes.com/2013/04/05/us/social-programs-face-cutback-in-obama-budget.html

Mr. Obama will propose other spending and tax credit initiatives, including aid for states to make free prekindergarten education available nationwide — a priority outlined in his State of the Union address in February. He will propose to pay for it by raising federal taxes on cigarettes and other tobacco products.
“The president has made clear that he is willing to compromise and do tough things to reduce the deficits, but only in the context of a package like this one that has balance and includes revenues from the wealthiest Americans and that is designed to promote economic growth,” said a senior administration official, who, like others, declined to be identified confirming details about the coming budget.
“That means,” the official added, “that the things like C.P.I. that Republican leaders have pushed hard for will only be accepted if Congressional Republicans are willing to do more on revenues.”
But just this week, Representative Eric Cantor, Republican of Virginia, the House majority leader, reiterated the party’s antitax stance and called for reducing spending by cutting waste and making changes in federal programs.
 

Sikko

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So cigarette smokers are among the wealthiest Americans or am I reading this wrong?

That's the way I read it too. You can only get so much juice out of a turnip, then what are they going to do when their tax stream collapses because of the heavy overtaxing? They have to get their money from somewhere.
 

sbdivemaster

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tobacco taxes disproportionately impact low-income and poor people. Head Start programs don't work.

So, those who least can afford it will be paying for programs that are of no benefit. All so the ANTZ and the Smoker-In-Chief can demonize tobacco users in the name of doing something "for the chiiildreeen".

Pure political posturing... :mad:
 

Petrodus

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Sarcasm Alert

Obviously ...
It's starting to sink-in that stick-it-to-the-rich isn't the answer
because even if the rich (the devils in America) are taxed at
100% ... we would still be broke !!

Soooo ... find a different segment of the population to demonize
and "Stick-It to them" !! .... Heck, no one cares about dirty smokers anyway.
They should just Quit or Die.

Wait !!!
If there's no more smokers and no more rich people ...
Who are "they" going to attack & squeeze next ?? Mmmmm
 
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Bill Godshall

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The big questions for THR are will Obama's proposed tobacco tax hike tax smokefree tobacco products at the same rate as cigarettes, and will his tax proposal include e-cigarettes?

The current federal tobacco excise tax rates are actually good for THR, as cigarettes are taxed at $1/pack, while smokeless tobacco is taxed at about $.11 per can.
 

Petrodus

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