
Tax Issues | |
Will Prop 10 Matter? |
Some analysts wonder how much good California's recently passed Proposition 10 will actually accomplish. Cigarettes will be taxed an extra 50 cents a pack starting next year, bringing the total tax bill to 87 cents. Raising taxes typically doesn't lower the number of smokers -- it just makes them more creative. For example,
Analysts also note that California has been down this road before. Voters passed Prop. 99 a decade ago, which boosted taxes per pack from 10 cents to 35 cents, even as federal taxes have climbed to 24 cents. Yet underage smoking has gone up every year since 1990. Source: Editorial, "Crock 10," Investor's Business Daily, November 16, 1998. For more on taxes go to http://www.ncpa.org/pi/taxes/tax2.html |
Home | Support Us | All Issues | Social Security | Debate Central | Contact Us
Dallas Headquarters: 12770 Coit Rd., Suite 800 - Dallas, TX 75251-1339 - 972/386-6272 - Fax 972/386-0924
Washington Office: 601 Pennsylvania Avenue NW, Suite 900 South Building, Washington, DC 20004 - 202/220-3082 - Fax 202/220-3096
© 2001 NCPA