DUmmies want Pot taxed.

[thundley4]

The Straight Story   (1000+ posts)             Wed Jul-28-10 04:14 PM
Original message
Plummeting cigarette sales cut California tax revenues
   
Cigarette sales in California plunged to their lowest level in a decade last year as smokers were squeezed by new taxes and restrictions on where they could light up.

While tobacco use has been steadily declining, the 8.1 percent sales drop was the largest year-over-year decline since 2000, according to the state Board of Equalization.

...

But for the state, the decline in smoking also means $74 million in tax revenues have disappeared like a puff of smoke, leaving health programs that rely on cigarette taxes to look for other ways to pay for services.

...

While cigarette sales have declined, "there's still a lot of work to do" to vanquish cigarettes from the state, Phillips said.

Read more: http://www.sacbee.com/2010/07/28/2919217/plummeting-cig...

Never for a minute doubted that they wanted to vanquish them.

http://www.democraticunderground.com/discuss/duboard.php?az=view_all&address=389x8834305

SoCalDem   (1000+ posts)             Wed Jul-28-10 04:18 PM
Response to Original message
1. buh byee...$74 million in tax revenues
   
This is what happens when states raise taxes to an obscene rate, in hopes of making MORE money...people find "other" ways to satisfy their habit...ways that cut the state out completely..Many do quit, but many also get creative...and save money in the process..

NeedleCast (1000+ posts)           Wed Jul-28-10 04:20 PM
Response to Original message
2. A perfect example of why six taxes are a bad idea
   
The ban brigade(s) wont care, they'll just move on to push taxing of other "sins."

Its beautifully ironic that many programs supported by six taxes, specifically cigarettes, are health programs.

movonne   (1000+ posts)             Wed Jul-28-10 04:25 PM
Response to Original message
3. If they make pot legal they can make it up by taxing pot..

And they'll tax it even higher than tobacco to make up the lost taxes on tobacco.

laughingliberal   (1000+ posts)           Wed Jul-28-10 04:30 PM
Response to Original message
6. Decreased revenue is always the end result of overly burdensome sin taxes.
   
It's been shown often enough that there is a point with sin taxes where they will reach diminishing returns. Looks like CA found that point. Now, what will they tax to make up the shortfall?

Anything to avoid progressive taxation, I guess.

Hey DUmmass, higher taxes almost always result in lower revenues, even income taxes. Just ask NYC, and other liberal havens.

Occulus   (1000+ posts)             Wed Jul-28-10 04:32 PM
Response to Original message
7. "leaving health programs that rely on cigarette taxes to look for other ways"
   
Edited on Wed Jul-28-10 04:32 PM by Occulus
See? This is what happens when you fund vital state programs on the back of a behavior you wish to eliminate. Why cigarette taxes are not wholly dedicated to smoking cessation programs (including nicotine dependency drugs/methods) is a mystery to me.

The money from the tobacco companies that was paid to states was supposed to fund things like that, but most states put it in the general fund.

[miskie]

Once again - taxing pot will never work - it is way too easy to grow. Like tomatoes. Anybody can grow tomatoes. Tobacco requires very specific conditions for crop success, and poorly made alcohol can kill.  -- Thats why taxes 'work' on these products.

[USA4ME]

laughingliberal

Anything to avoid progressive taxation, I guess.

Look idiot, we already have progressive taxation, but no doubt it's not at the rates you would prefer.  But if "there is a point with sin taxes where they will reach diminishing returns," what makes you believe it won't happen with higher tax rates in general?  And as others have mentioned with tobacco, people are finding alternative ways to get their smokes outside of gov't reach, and so it would happen if you raise tax rates where you want them to be.

.

[LC EFA]

SoCalDem   (1000+ posts)             Wed Jul-28-10 04:18 PM
Response to Original message
1. buh byee...$74 million in tax revenues
   
This is what happens when states raise taxes to an obscene rate, in hopes of making MORE money...people find "other" ways to satisfy their habit...ways that cut the state out completely..Many do quit, but many also get creative...and save money in the process..

Yet , many of your peers are pushing for a far higher rate of income taxes. Just can't make the connection can you.

NeedleCast (1000+ posts)           Wed Jul-28-10 04:20 PM
Response to Original message
2. A perfect example of why six taxes are a bad idea
   
The ban brigade(s) wont care, they'll just move on to push taxing of other "sins."

Its beautifully ironic that many programs supported by six taxes, specifically cigarettes, are health programs.

Yeah. Like the "sin" of being more wealthy or productive than a arbitrary level determined exclusively by those under it.

Idiots.

[PatriotGame]

If we could find a manner to tax ignorance and stupidity, the  DUmmys alone would fund 90% of this nation's expenditures.

[Randy]

Great idea! Let's tax pot....

retroactively   

[Chris_]

Um, since the vast majority of pot smokers are lower income, mostly, because of their pot smoking, imo, shouldn't they be against this tax?