Thursday, April 02, 2009

Obama breaks pledge by taxing tobacco?

I am not fan of smoking, but I have always wondered about sin taxes like the tobacco taxes. If you are taxing something, hoping it will make folks stop buying it, shouldn't you plan for that revenue stream to go away? Anyway, it seems a number of people are furious about the president's plan to increase taxes on cigarettes because it breaks a campaign promise that was prominent.

The largest increase in tobacco taxes took effect despite Obama's promise not to raise taxes of any kind on families earning under $250,000 or individuals under $200,000.

This is one tax that disproportionately affects the poor, who are more likely to smoke than the rich.

"I can make a firm pledge," he said in Dover, N.H., on Sept. 12. "Under my plan, no family making less than $250,000 a year will see any form of tax increase. Not your income tax, not your payroll tax, not your capital gains taxes, not any of your taxes."
I don't see this as being a major point that can be scored by Conservatives against Obama, but I do see it as potentially undermining him among his Liberal supporters.

4 comments:

Sean said...

Ultimately what seems to be worse is that it underlines his M.O. - he thinks he knows what is best for everyone and he'll tax you until you agree with him. Heck, he had to quit smoking so everyone else should have to as well.

And I agree with you Nomad that the government shouldn't plan on a revenue stream existing in perpetuity when they're trying to tax it into oblivion.

shadowmom1 said...

And it is a very large increase in the tax on tobacco. Now over a dollar per pack. I have never smoked, but this is excessive.

USpace said...

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Obama should've said "Read my lips, no new taxes!" Support the sovereign American Indian Nations! Tobaccobymail.com

It's all so hopenchangey.
The governments imposing these tobacco SIN taxes are actually committing racist acts since most smokers are lower income, and many of them are minorities. Obama committed a racist act with this tax increase. Completely regressive. Why don't they tax cigs $1,000 a carton?

There are way too many laws already, but we need one more that says a 'Sin' tax may not be more than 100-150% of the Retail price. Ever.

They don't want all people to quit, just enough to toot their horns to justify their tyranny. They will still be able to rely on all those taxes continually coming in from the hardcore addicts, which at the increasingly obscene rates will easily make up the taxes lost from the small percentage of quitters.

Politicians don't want people to stop smoking. If they did they would tax them $100 per pack. But this would just increase the black market even more, and the state would get no money.
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absurd thought -
God of the Universe says
raise taxes on the poor

tax cigs 200 percent
hurt poor smokers the most

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absurd thought -
God of the Universe says
create racist outcomes

raise some taxes on the poor
hurt minorities the most
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USpace
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