New York Now Has Highest Cigarette Tax in the U.S. June 4, 2008
News Summary
New York residents are now paying $2.75 per pack in state tobacco taxes, driving the price of a pack of cigarettes up to $10 in New York City, which charges its own substantial taxes on cigarettes, the Associated Press reported June 3.
A $1.25-per-pack increase in the state's tobacco tax went into effect this week, with state officials expecting $1.3 billion in annual revenues from cigarette taxes. Richard Daines, the state health commissioner, also predicted that the tax hike will convince 140,000 New Yorkers to quit smoking and discourage more youths from starting to smoke.
New York also has an $83-million antismoking initiative underway. "What we really want people to do is not to pay the price, but to stop smoking," he said.
Convenience store owners predict that rather than quitting, smokers will turn to other sources to buy cigarettes. "More and more smokers in New York state are going to abandon our stores that have to charge the tax and shift their purchases to places that don't charge the tax, most notably Native American stores, the Internet and bootleggers," said Jim Calvin, president of the New York Association of Convenience Stores.
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