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S.C. Lawmakers Start Debate on Tobacco Tax Hike
May 7, 2008

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News Summary

A plan to raise South Carolina's tobacco tax by 50 cents is now being debated in the state Senate, The State reported May 6.

South Carolina currently has the nation's lowest cigarette tax -- 7 cents per pack. If the increase is approved, that mantle would fall to North Carolina, which has a 35-cent-per-pack tax (next lowest is Georgia's 37-cents-per-pack).

The funding would be used to help businesses buy health insurance for employees and to expand healthcare coverage for poor residents. About $5 million of the expected $159 million in annual new tax revenues would be dedicated to a program to prevent smoking and help youths and adults who do smoke to quit.

Senate lawmakers have expressed strong support for a tax increase but have disagreed on how to spend the money. The legislation under debate is considered a compromise between Democratic and Republican lawmakers. The measure's future in the House, however, is less certain.

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Posted by Gerrit on 08 May 08 10:42 AM EDT
In comparison, Missouri's beer tax remains at $0.06 per gallon, which amounts to $0.006 (six-tenths of one cent)per 12-ounces of beer or less than 4 cents per sixpack. That's exactly what is has been since 1970 -- 38 years, in spite of inflation.

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