Tuesday, October 21, 2014

Cigarette tax controversy?

By: Josh Leach


 

            Should the government use taxes to discourage undesired behavior?  Taxes on cigarettes are high due to decisions made by local, state, and federal governments in an effort to deter people from smoking.  The majority of the population supports this campaign against addiction.  However, some people seriously doubt its validity.  They believe aiming taxes towards a specific group of people is unfair and discriminatory.  This division has led to a great deal of debate over the cigarette tax.

            Capitalists disagree with the tax, because it is just another example of governmental control over the market.  They believe the government is overreaching into people’s lives by forcing them to either give up their bad habit or pay an outrageously high tax.  People also doubt the effectiveness of the tax.  After all, the tax has unintentionally led to the smuggling of tobacco products across state borders in an effort to avoid the tax.  Brian McTigue, a senior at Seckman High School, commented, “This is just another example of the government messing everything up.”  According to Fox News Politics, “Increased excise taxes on cigarettes to discourage smoking have, in fact, created lucrative incentives for black market trafficking between states.”  Many state governments have started going after the sale of electronic cigarettes.  Susan K. Livio wrote an article over New Jersey’s senate approval of a tax increase on all tobacco products.   She wrote, “Members of the fast-growing e-cigarette industry and retailers warned the Senate Health, Human Services and Senior Citizens Committee that the higher taxes would drive demand for the devices to the internet or other states — taking sales tax revenue with it.”  A lot of people have warned the government of the unintended consequences of the high taxes on tobacco products.

            In contrast, a lot of people support using taxes to break the grip that big cigarette companies have on smokers.  Hardly anyone is ignorant to the health risks of smoking due to countless campaigns to educate people on this matter.  However, the addictive power of nicotine does not promote rational decision making.  Cigarettes are responsible for a truly unbelievable number of deaths, yet people continue to smoke.  When asked if he would eve try cigarettes, Josh Kurosz, a senior at Seckman, replied, “Why try something with no possible benefit?”  The Centers of Disease Control and Prevention warns, “Cigarette smoking causes more than 480,000 deaths each year in the United States. This is about one in five deaths…Smoking causes about 90% (or 9 out of 10) of all lung cancer deaths in men and women…About 80% (or 8 out of 10) of all deaths from chronic obstructive pulmonary disease (COPD) are caused by smoking.”  Lawmakers think the only way to get people’s attention is to hit them in their wallets.

            Further support for the cigarette tax comes from its financial contribution to state governments, which are in terrible need of money. Liz Emanuel and Richard Borean, researches on taxes, have compiled the tax rates in various states “Cigarettes are taxed the highest in New York, at $4.35 per pack. New England rounds out the remaining top four, with Massachusetts charging $3.51 per pack, followed by Rhode Island ($3.50) and Connecticut ($3.40). On the other end of the spectrum, Missouri levies the lowest tax on cigarettes at just 17 cents per pack.”  Since the government started taxing tobacco products, billions of dollars have been raised.  The Campaign for Tobacco-Free Kids website states, “Tobacco tax increases offer a win-win-win solution for states, especially as they face a severe fiscal crisis and work to balance budgets while preserving essential public services.”  Instead of smokers’ money going to large cigarette companies, the money can be extracted through taxation and contribute to society.
            Cigarette companies have extensively advertised since the very beginning.  Each generation is warned about the tremendous cost of smoking; both financially and physically.  Nonetheless, everyday hundreds of people smoke their first cigarette.  The government’s use of taxes to discourage smoking is controversial, but it just might work.

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