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News (Media Awareness Project) - US TN: LTE: Crack Tax Will Reduce Profits From Drug Trade
Title:US TN: LTE: Crack Tax Will Reduce Profits From Drug Trade
Published On:2005-01-31
Source:Knoxville News-Sentinel (TN)
Fetched On:2008-01-17 01:48:40
CRACK TAX WILL REDUCE PROFITS FROM DRUG TRADE

I wish to address some statements made in a recent letter to the editor
which appeared Jan. 16. regarding Senate Bill 2419, Public Chapter 803,
which became known as the "Crack Tax." Twenty-two states have enacted this
type of tax, and in Tennessee's case, it is estimated to bring in
approximately $3.6 million the first year.

Certainly I understand that drug dealers will not voluntarily come forward
and pay the tax. However, when a drug dealer is arrested, in addition to
the current confiscation statutes, he will be charged the tax on the
illegal controlled substance as well as interest and penalties.

Prior to the law, if "Bob" the drug dealer were arrested while making a
drug deal in his van, using his cell phone, law enforcement had the
authority to confiscate the van, the cell phone, any cash in his possession
and the drugs.

After Jan. 1, in addition, Bob the dealer will be assessed the tax on the
drugs as well as interest and penalties - the tax on four ounces of crack
cocaine would be $5,662.50 plus interest and penalties.

Enactment of Public Chapter 803 is an effort to reduce profits from the
illegal drug trade, provide for stiffer penalties for drug dealers and
provide assistance to offset some of the costs that illegal drug trade
inflicts upon law enforcement and the state.

RANDY MCNALLY

State Senator

Oak Ridge
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