states-funding-mech

states-funding-mech -...

Info iconThis preview shows pages 1–2. Sign up to view the full content.

View Full Document Right Arrow Icon
5127f461c338693759e3ce0bf3606a120706d67f.doc - GT Dartmouth 2K9 1 Tobacco Tax Tobacco taxes generate billions of dollars Medical News Today, 2008 (Medical website for news regarding health care, 9/3/2008, “State, federal governments dependent on tobacco tax revenue, strength of industry”, NM, http://www.medicalnewstoday.com/articles/120076.php) The New York Times on Sunday examined how a "growing reliance by the states and federal government on cigarette taxes -- as well as a popular proposal to increase federal taxes by 61 cents to an even $1 per pack to finance [SCHIP] -- provide a sort of insurance policy for the continued survival of menthol cigarettes ." The National Conference of State Legislators last month said states were facing combined deficits of more than $40 billion in 2009, and increasing tobacco taxes "is one way some states are trying to make up the shortfall, " the Times reports. Last year, states collected more than $19 billion in cigarette taxes . Ten states increased their cigarette taxes in 2007 and more states are considering increases this year. According to the Times , the government "has become a financial stakeholder in smoking, some would argue, even as public health officials warn people about its deadly consequences" (Saul, New York Times , 8/31). Tobacco tax increase is a win-win – saves lives and raises revenue Medical News Today, 7/9 (Medical website for news regarding health care, July 9, 2009, “North Carolina Should Increase Cigarette Tax By 50 percent to save lives and raise revenue”, NM, http://www.medicalnewstoday.com/articles/156873.php) While the North Carolina Legislature grapples with a $4 billion budget deficit and potentially devastating cuts to state services, including many vital public health programs, other states are turning to tobacco tax increases to raise new revenue and dramatically reduce health care costs by reducing smoking. This year alone the following states have increased their taxes: Arkansas, Delaware, Florida, Hawaii, Kentucky, Mississippi, New Hampshire, New Jersey, Rhode Island, Vermont and Wisconsin. These 11 states have recognized that increasing tobacco taxes is a win-win-win solution -- a health win that will reduce tobacco use and save lives, a financial win that will raise much-needed revenue and reduce tobacco- caused health care costs, and a political win that is popular with voters . Seventy-nine percent of North Carolina voters support an even higher tax increase of $1. Less than one dollar increases in the tobacco tax would result in millions of dollars in revenue
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Image of page 2
This is the end of the preview. Sign up to access the rest of the document.

This note was uploaded on 12/20/2010 for the course K 101 taught by Professor Staff during the Fall '10 term at UMass Lowell.

Page1 / 4

states-funding-mech -...

This preview shows document pages 1 - 2. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online