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News (Media Awareness Project) - US CA: PUB LTE: Prop 10 Paves Way For Black Market
Title:US CA: PUB LTE: Prop 10 Paves Way For Black Market
Published On:1998-10-10
Source:San Jose Mercury News (CA)
Fetched On:2008-09-06 23:15:12
PROP. 10 PAVES WAY FOR BLACK MARKET

I do not smoke, but I'm opposed to the tobacco tax in Proposition 10.
This is just one more step toward tobacco prohibition initiated by
do-gooders who want to protect people from themselves. Yesterday it
was a ban on smoking in bars. Today it is a huge tax increase.
Tomorrow will bring bans on smoking in individual residences and still
more tax increases.

The Mercury News reports the additional 50-cent tax imposed by
Proposition 10 would raise the average cost of cigarettes to $3.05 per
pack. And don't forget federal legislation, although stalled for now,
will be back. The federal tax will eventually pass, and that could
raise the price an additional $1.10 to $4.15 per pack.

At that point a huge unregulated black market for tobacco would
develop. Unscrupulous people would be able to avoid all taxes,
severely undercut legitimate retailers, and make a tidy profit.

- -- Ken Cavagnaro

San Jose

Checked-by: Patrick Henry
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