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News » 2009 » April » Tobacco tax hikes break smokers down

Tobacco tax hikes break smokers down


Smokers are already fuming about federal tax hikes coming up in 10 days that will raise the price up to an average $6 a pack and $50 a carton. However, New Hampshire State officials are already considering more regulations to raise tobacco taxes even more, because the revenue would contribute to funding additional health promotion programs.

Two years ago, Gov. Lynch directed around $6 million for health programs and namely for Comprehensive Cancer Plan - a program that led around 2,500 men and women to be tested for various forms of cancer, including breast cancer and colon cancer.

However, the program was closed last year due to budget deficit. Officials are examining two bills; one of them would raise the state cigarette tax by an additional $1 a pack and another would increase the wholesale prices of tobacco containing products by 60 percent. The revenue would go to the State Treasury for various purposes.

Smokers, who have heard about two aforementioned proposals, are preparing for the worst times. Whether these proposals would be signed into law, the average cost of a pack of cigarettes would jump to $7 in New Hampshire, whereas the estimated prices across America would surpass $6 with the federal tax increase coming on April 1.

The revenue from federal tax increase would go to funding State Children's Health Insurance Program directed to children from families with low-incomes. Although the most affected by the New Hampshire bills would be people who prefer roll-own tobacco since the price per pound would jump from $1.10 to $24.78 making it a 2,150 percent tax hike.

Concord resident Charley Martin said that he considers the situation with smokers in New Hampshire as hypocritical and unfair. He added that could not understand why the officials put a burden on smokers’ shoulders and try to wear them out and take their hard-earned money to cover the holes in state budget instead of cutting their own expenses.

In accordance with the bill signed by President Obama back in February, the federal cigarette tax would raise the price of cigarettes to $1, 01 per pack, while tobacco price would jump to $1.73 per pound. Other tobacco containing products like cigars would go up by $0.35 each.

However, the federal tax has not come into effect yet, the retailers and customers have already felt the price increases on their pockets, since major tobacco companies have suddenly increased their prices in anticipation of expected sale cuts.

Ginger Tisdale, the owner of Green Bay Smoking Center in Portsmouth reported the prices for cartons in her store jumped by as high as up to almost $9 per carton since last December when cigarette manufacturers began raising prices.

Mrs. Tisdale added that all the price increases they have seen for the last three months is a rather rude attempt of cigarette moguls to line their pockets even more.

She also said that she has been surprised by the fact that her sales have not decreased significantly with the recent price increases. The sales reports showed that the store has sold almost the same number of cigarettes as two weeks ago. However Smoking Center owner admitted that she has been afraid that after April,1 the sales would go down considerably. She mentioned that the sales would depend massively on the condition of country’s economy, stating that if recession would become harder people would try to cut their expenses as much as possible.

Jessie O'Neal, of Dover, complained that he came to purchase his favorite Newports two days ago and was simply astonished when saw that the price has jumped to unbelievable $6 per pack.

He stated that cigarettes are not the only products that should be taxed so much because they cause health complications. O’Neal stated that alcohol should be taxes as high as cigarettes, because alcohol addicted can afford to buy a lot of beer, and then they hit the road and could kill or injure somebody.

According to statistical data collected by the US Department of Health the rates of smokers in the state make 19.4 percent among adult population and 19.0 percent of students smoke.