It is a FACT... tobacco taxes reduce smoking; so would reducing taxes encourage smoking?

healthmyths

Platinum Member
Sep 19, 2011
29,738
11,141
900
The primary reason for raising taxes on cigarettes:
Extensive research shows that tobacco taxes reduce smoking and extend lives. An examination of more than 100 international studies articulates the empirical consensus: “Significant increases in tobacco taxes are a highly effective tobacco control strategy and lead to significant improvements in public health.
Higher Tobacco Taxes Can Improve Health and Raise Revenue | Center on Budget and Policy Priorities

So raising taxes does what? Discourages behavior right? Make it too expensive reduces the consumption right?

BUT conversely if raising taxes discourages, lowering taxes encourages Right?

So who has the best chances of improving our economy?

Again keep in mind raising taxes discourages, lowering taxes encourage!
Hillary plan:
  • A 4 percent surtax (the campaign calls it a "Fair Share Surcharge"), which has been getting the most attention. It involves taxing all income (that is, not just wage and salary income) over $5 million. That's what makes it a surcharge and not just the creation of a new income-tax bracket.
  • The Buffett Rule — She would require people earning more than $1 million annually to pay at least a 30 percent tax rate.
  • Tightening loopholes that tend to be used by the wealthy. In particular, the Clinton camp points to what's been dubbed the "Romney loophole." That refers to the practice of stashing millions of dollars in IRAs. They also highlight the "Bermuda reinsurance loophole," which has allowed some hedge-fund managers reduce their taxes via insurance companies in Bermuda, as Bloomberg reported.
Clinton Would Raise Taxes On The Wealthy. Here's What You Need To Know

Trump's plan:
  • Mr. Trump’s tax plan would substantially lower individual income taxes and the corporate income tax and eliminate a number of complex features in the current tax code.
However, it also would improve incentives to work and invest, which could increase gross domestic product (GDP) by 11 percent over the long term.
This increase in GDP would translate into 6.5 percent higher wages and 5.3 million new full-time equivalent jobs.
Details and Analysis of Donald Trump’s Tax Plan
 
I call the study Bullshit, people in high taxed blue cities and states Just went to roll your own smokes. Some went to vapors.

I just switched to cigars a few years ago because I like them better then cigarettes..
 
If something like cigarettes has a 20 cent tax per pack, and then the govt raises the tax to 25 cents or even 30 cents a pack vs the 20 cents that it was....will not reduce cigarette sales....

It's when your State raises taxes on the cigarette packs to $1.00 a pack like it is here in Maine, when you start to see a decline in buying cigarettes.

So essentially taxes can be raised to a certain point, where it will not affect sales in a negative manner...

same with increases in marginal tax rates for the highest bracket of income...they can go up, without hurting the economy....they just can't go up drastically.
 
If something like cigarettes has a 20 cent tax per pack, and then the govt raises the tax to 25 cents or even 30 cents a pack vs the 20 cents that it was....will not reduce cigarette sales....

It's when your State raises taxes on the cigarette packs to $1.00 a pack like it is here in Maine, when you start to see a decline in buying cigarettes.

So essentially taxes can be raised to a certain point, where it will not affect sales in a negative manner...

same with increases in marginal tax rates for the highest bracket of income...they can go up, without hurting the economy....they just can't go up drastically.


I also forgot about people bootlegging smokes from the south, a huge industry..a minor league Nasscar driver got caught up in a sting last year.
 
If something like cigarettes has a 20 cent tax per pack, and then the govt raises the tax to 25 cents or even 30 cents a pack vs the 20 cents that it was....will not reduce cigarette sales....

It's when your State raises taxes on the cigarette packs to $1.00 a pack like it is here in Maine, when you start to see a decline in buying cigarettes.

So essentially taxes can be raised to a certain point, where it will not affect sales in a negative manner...

same with increases in marginal tax rates for the highest bracket of income...they can go up, without hurting the economy....they just can't go up drastically.


I also forgot about people bootlegging smokes from the south, a huge industry..a minor league Nasscar driver got caught up in a sting last year.
Many people here in Maine, if they are close to the border, drive to New Hampshire which has no state cigarette tax, and buy their cigarettes from there...

I don't truly understand the laws on cigarettes and whether it is legal or illegal to buy them from another State if you are there in person buying them, and if it is illegal to buy cigarettes from another State, WHY?

Here we have treaties with foreign Nations on FREE TRADE, yet we can't even have free trade between States???
 
If something like cigarettes has a 20 cent tax per pack, and then the govt raises the tax to 25 cents or even 30 cents a pack vs the 20 cents that it was....will not reduce cigarette sales....

It's when your State raises taxes on the cigarette packs to $1.00 a pack like it is here in Maine, when you start to see a decline in buying cigarettes.

So essentially taxes can be raised to a certain point, where it will not affect sales in a negative manner...

same with increases in marginal tax rates for the highest bracket of income...they can go up, without hurting the economy....they just can't go up drastically.


I also forgot about people bootlegging smokes from the south, a huge industry..a minor league Nasscar driver got caught up in a sting last year.
Many people here in Maine, if they are close to the border, drive to New Hampshire which has no state cigarette tax, and buy their cigarettes from there...

I don't truly understand the laws on cigarettes and whether it is legal or illegal to buy them from another State if you are there in person buying them, and if it is illegal to buy cigarettes from another State, WHY?

Here we have treaties with foreign Nations on FREE TRADE, yet we can't even have free trade between States???

Its super illegal, you can get in major trouble if you sell smokes with out a state stamp, they are on the bottom of a pack of cigarettes
 
If something like cigarettes has a 20 cent tax per pack, and then the govt raises the tax to 25 cents or even 30 cents a pack vs the 20 cents that it was....will not reduce cigarette sales....

It's when your State raises taxes on the cigarette packs to $1.00 a pack like it is here in Maine, when you start to see a decline in buying cigarettes.

So essentially taxes can be raised to a certain point, where it will not affect sales in a negative manner...

same with increases in marginal tax rates for the highest bracket of income...they can go up, without hurting the economy....they just can't go up drastically.


I also forgot about people bootlegging smokes from the south, a huge industry..a minor league Nasscar driver got caught up in a sting last year.
Many people here in Maine, if they are close to the border, drive to New Hampshire which has no state cigarette tax, and buy their cigarettes from there...

I don't truly understand the laws on cigarettes and whether it is legal or illegal to buy them from another State if you are there in person buying them, and if it is illegal to buy cigarettes from another State, WHY?

Here we have treaties with foreign Nations on FREE TRADE, yet we can't even have free trade between States???

Its super illegal, you can get in major trouble if you sell smokes with out a state stamp, they are on the bottom of a pack of cigarettes


I am talking commercial, like a store, but also an average citizen can get in a lot of trouble selling them on a street corner..

Remember that black guy in New York who died by the police?

People buy them online and I could send you limited cartons through the mail...
 
If something like cigarettes has a 20 cent tax per pack, and then the govt raises the tax to 25 cents or even 30 cents a pack vs the 20 cents that it was....will not reduce cigarette sales....

It's when your State raises taxes on the cigarette packs to $1.00 a pack like it is here in Maine, when you start to see a decline in buying cigarettes.

So essentially taxes can be raised to a certain point, where it will not affect sales in a negative manner...

same with increases in marginal tax rates for the highest bracket of income...they can go up, without hurting the economy....they just can't go up drastically.


I also forgot about people bootlegging smokes from the south, a huge industry..a minor league Nasscar driver got caught up in a sting last year.
Many people here in Maine, if they are close to the border, drive to New Hampshire which has no state cigarette tax, and buy their cigarettes from there...

I don't truly understand the laws on cigarettes and whether it is legal or illegal to buy them from another State if you are there in person buying them, and if it is illegal to buy cigarettes from another State, WHY?

Here we have treaties with foreign Nations on FREE TRADE, yet we can't even have free trade between States???

Its super illegal, you can get in major trouble if you sell smokes with out a state stamp, they are on the bottom of a pack of cigarettes

I do not understand how they can do that? There should be free trade between the States, without a tariff or duty tax, or in this case having to pay a cigarette tax in your own State on goods you purchased from another State...???
 
It's really a two-edged sword. Raising taxes on smokes does cause some folks to quit smoking. While that may be a plus, there is a minus to it. Taxes on smokes fund much of the nation's medical care for children. Less sales of smokes causes a reduction in the taxes collected that goes to fund children's healthcare. Once this revenue no longer exists, children's healthcare funding from sales of smokes would need be found by taxing something else.
 
it just doesn't make sense... the same with buying a car in New Hampshire, there is no State sales tax in NH...if you live in another State like Massachusetts or Maine as well I presume, which abuts New Hampshire and go there to buy your car because it is a heck of a lot cheaper without having to pay the sales tax in your own State, Massachusetts makes that illegal, and you have to pay the full sales tax on the car you purchased in NH to the State of Massachusetts....

ALL of that kind of stuff is NOT FREE TRADE....
 
I didn't mean to throw up a "smoke screen"..(PUN INTENDED!) but the point of the thread was raising taxes is used as an incentive
NOT to buy tobacco. That was the point and the facts of the study bear it out as well as common sense.
So Hillary's attempt to raise taxes will do NOTHING to stimulate the economy.
It will not create jobs. It will not increase the GDP and it definitely won't bring back the nearly $2 TRILLION from offshore as
LOWER corporate taxes will do! It's just plain common sense.
If a domestic corporation can reduce taxes liabilities then that means more profits!
Under current IRS laws profits have to be either spent or paid in dividends to be taxed.
SO why wouldn't it make sense to lower taxes as an incentive to hire Americans thus generating greater tax revenue from
not only income but FICA/Medicare taxes paid by employee/employer? Again this would create more TAX revenue!
Again raising taxes reduces revenue... lowering taxes increases revenue. Simple.

Finally one real simple test of simple math understanding.
If you have 30% tax on $1 million it is $300,000 in tax revenue
If you have 15% tax on $2 million it is $300,000 in tax revenue.
Over all which then is better for the GDP... $1 million in revenue or $2 million in revenue.

Looking at it from the terms of the "multiplier effect"..
The economic multiplier states for every $1 million spent, IT is multiplied by 1.18 or the economy grows with that $700 billion to $826 billion.
• $1.188 million in total economic activity takes place for every $1 million spent..
• Each $1 million spent provides $205,829 in labor incomes
• Each $1 million represents 7.7 workers and assuming 35% (payroll taxes, FICA, FUTA, Medicare, SS)
($80 billion equals 6,360,200 jobs!
http://www2.econ.iastate.edu/research/webpapers/paper_13143.pdf
 
Wouldn't taking those extra taxes and spending it on all of the infrastructure repair, put more people to work and fix some very needed repair on electric grids, sewer systems, water and natural gas pipelines, highways, bridges, railways, airways etc etc....?
 
The primary reason for raising taxes on cigarettes:
Extensive research shows that tobacco taxes reduce smoking and extend lives. An examination of more than 100 international studies articulates the empirical consensus: “Significant increases in tobacco taxes are a highly effective tobacco control strategy and lead to significant improvements in public health.
Higher Tobacco Taxes Can Improve Health and Raise Revenue | Center on Budget and Policy Priorities

So raising taxes does what? Discourages behavior right? Make it too expensive reduces the consumption right?

BUT conversely if raising taxes discourages, lowering taxes encourages Right?

So who has the best chances of improving our economy?

Again keep in mind raising taxes discourages, lowering taxes encourage!
Hillary plan:
  • A 4 percent surtax (the campaign calls it a "Fair Share Surcharge"), which has been getting the most attention. It involves taxing all income (that is, not just wage and salary income) over $5 million. That's what makes it a surcharge and not just the creation of a new income-tax bracket.
  • The Buffett Rule — She would require people earning more than $1 million annually to pay at least a 30 percent tax rate.
  • Tightening loopholes that tend to be used by the wealthy. In particular, the Clinton camp points to what's been dubbed the "Romney loophole." That refers to the practice of stashing millions of dollars in IRAs. They also highlight the "Bermuda reinsurance loophole," which has allowed some hedge-fund managers reduce their taxes via insurance companies in Bermuda, as Bloomberg reported.
Clinton Would Raise Taxes On The Wealthy. Here's What You Need To Know

Trump's plan:
  • Mr. Trump’s tax plan would substantially lower individual income taxes and the corporate income tax and eliminate a number of complex features in the current tax code.
However, it also would improve incentives to work and invest, which could increase gross domestic product (GDP) by 11 percent over the long term.
This increase in GDP would translate into 6.5 percent higher wages and 5.3 million new full-time equivalent jobs.
Details and Analysis of Donald Trump’s Tax Plan






I don't think so. It was mainly a cultural shift that changed peoples opinions about smoking. The taxes merely made them expensive so those who couldn't afford them resorted to crime to get them. People just got tired of the stink of cigarettes.
 
The primary reason for raising taxes on cigarettes:
Extensive research shows that tobacco taxes reduce smoking and extend lives. An examination of more than 100 international studies articulates the empirical consensus: “Significant increases in tobacco taxes are a highly effective tobacco control strategy and lead to significant improvements in public health.
Higher Tobacco Taxes Can Improve Health and Raise Revenue | Center on Budget and Policy Priorities

So raising taxes does what? Discourages behavior right? Make it too expensive reduces the consumption right?

BUT conversely if raising taxes discourages, lowering taxes encourages Right?

So who has the best chances of improving our economy?

Again keep in mind raising taxes discourages, lowering taxes encourage!
Hillary plan:
  • A 4 percent surtax (the campaign calls it a "Fair Share Surcharge"), which has been getting the most attention. It involves taxing all income (that is, not just wage and salary income) over $5 million. That's what makes it a surcharge and not just the creation of a new income-tax bracket.
  • The Buffett Rule — She would require people earning more than $1 million annually to pay at least a 30 percent tax rate.
  • Tightening loopholes that tend to be used by the wealthy. In particular, the Clinton camp points to what's been dubbed the "Romney loophole." That refers to the practice of stashing millions of dollars in IRAs. They also highlight the "Bermuda reinsurance loophole," which has allowed some hedge-fund managers reduce their taxes via insurance companies in Bermuda, as Bloomberg reported.
Clinton Would Raise Taxes On The Wealthy. Here's What You Need To Know

Trump's plan:
  • Mr. Trump’s tax plan would substantially lower individual income taxes and the corporate income tax and eliminate a number of complex features in the current tax code.
However, it also would improve incentives to work and invest, which could increase gross domestic product (GDP) by 11 percent over the long term.
This increase in GDP would translate into 6.5 percent higher wages and 5.3 million new full-time equivalent jobs.
Details and Analysis of Donald Trump’s Tax Plan






I don't think so. It was mainly a cultural shift that changed peoples opinions about smoking. The taxes merely made them expensive so those who couldn't afford them resorted to crime to get them. People just got tired of the stink of cigarettes.


So do I...
 
It is a FACT... tobacco taxes reduce smoking; so would reducing taxes encourage smoking?

Yeah, and cutting arms off reduces shoplifting. Smokers have a right to smoke (it's legal) - and they shouldn't be bankrupted to support their habit. Before long they'll be driven to smoke dried corn silk. The taxes on tobacco are used for almost everything - EXCEPT smokers' healthcare. How is that fair?
 
It is a FACT... tobacco taxes reduce smoking; so would reducing taxes encourage smoking?

Yeah, and cutting arms off reduces shoplifting. Smokers have a right to smoke (it's legal) - and they shouldn't be bankrupted to support their habit. Before long they'll be driven to smoke dried corn silk. The taxes on tobacco are used for almost everything - EXCEPT smokers' healthcare. How is that fair?

So if you agree with this statement:
Extensive research shows that tobacco taxes reduce smoking and extend lives. An examination of more than 100 international studies articulates the empirical consensus: “Significant increases in tobacco taxes are a highly effective tobacco control strategy and lead to significant improvements in public health.
Higher Tobacco Taxes Can Improve Health and Raise Revenue | Center on Budget and Policy Priorities

Remember 100 international studies raising tobacco taxes cuts down on tobacco use!

So given that simple fact wouldn't Hillary's tax plans reduce tax revenue?
I mean if the logic is raising taxes reduces spending on tobacco, wouldn't raising taxes reducing incomes on everyone?
Simple extension of the premise... raise taxes discourages use!
That's the premise of this thread. Nothing about the ills of tobacco but the ills of raising taxes. FACTS don't lie.
The people you idiots want to continue to squeeze are the people that pay almost 60% of the Federal Tax revenue!
taxespaidby.png

RESULTS???
The same people that Hillarydimwits want to squeeze and tax more are also leaving the USA...
The number of citizens and long-term residents cutting their official ties to Uncle Sam jumped more than 20% last year to 4,279, according to a CNNMoney analysis of the latest government data.
Eighteen times as many Americans renounced their citizenship or long-term residency in 2015 compared with 2008.
Last year was the third record-breaking year in a row.
Number of Americans renouncing U.S. citizenship jumps 20% in 2015

And the main reason for the dramatic increase of almost of Americans renouncing citizenship?
TAXES
But the increase dovetails with the implementation of new federal reporting requirements and penalties for assets held overseas by U.S. citizens.
The rules were passed back in 2010 as part of legislation intended to encourage businesses to hire more employees and jump-start the nation’s economic recovery. Attached to the law was a provision called the Foreign Account Tax Compliance Act (FATCA) that was supposed to “detect, deter and discourage” tax evasion through offshore bank accounts.
The law requires foreign banks to report whether their clients are U.S. citizens.
The penalty for not complying is stiff: a 30 percent withholding from the proceeds of the bank's financial transactions in the United States.
That has caused plenty of consternation among foreign firms, some of which have reportedly closed accounts belonging to Americans as a result.

Why Americans are giving up citizenship in record numbers
 

Forum List

Back
Top