Saturday, April 13, 2013

Senator's tax amendment would increase price of cigars in Massachusetts


Seeking a larger tax hike on cigars than the one the House passed as part of a transportation financing bill, the Campaign for Tobacco-Free Kids is hoping the Senate amends the bill on Saturday. Where the House would raise the price of a two-cigar pack of white grape flavored White Owl cigarillos from 99 cents to $1.06, the Tobacco-Free Kids amendment would raise the price to $1.90.

“You have to have a significant increase in price to even discourage consumption at all,” said Kevin O’Flaherty, of Tobacco-Free Kids. He said, “If you’re going to have a sin tax, have a sin tax.”

The amendment O’Flaherty is seeking would exempt cigars that weigh more than 12 pounds per 1,000 sticks, which he said tend to be the hand-rolled variety that “wealthy old men smoke.”

The amendment would hit products that O’Flaherty said target youths, who are all the more swayed by their low price. “We’re not trying to create a luxury tax on expensive cigars,” O’Flaherty said.

O’Flaherty said the amendment would be filed by Senate Assistant Majority Leader Harriette Chandler (D-Worcester). The $500 million tax bill passed by the House attempts to steer more money to transportation by raising taxes on tobacco, certain corporations and gasoline. O’Flaherty said it is difficult to estimate how much additional revenue his organization’s proposed amendment would raise. In Massachusetts, high school cigar smoking is almost double that of adult cigar smoking, according to Tobacco-Free Massachusetts. 
 
By: State House News Service

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