Dems want to raise tax on cigars 20,000%Sen Blanche Lincoln (D-AR) is sponsoring the bill.

By Though Mechanics: A measure making its way through the halls of Congress would not only raise the tax on cigarettes and cigars, it would raise the tax on some cigars through the roof. Cigarettes, which account 95 % of tobacco tax collections, are the main focus of the bill. Federal taxes on a pack would jump from 39-cents to $1. As for cigars, currently the federal government levies a flat tax of 5-cents per cigar. If the proposed legislation passes, it would increase the tax up to $10 per cigar, depending on the price of the cigar. In some cases that would be an increase of up to 20,000 %.

Under measure being considered, a cigar would be taxed at 53 % of its wholesale price. For example, if a cigar costs $5 now, under the new tax plan the price would increase by more than half - to just over $7.50. A cigar that costs $20 would be taxed $10 under the new plan. . . . If the measure passes, the outlook appears bleak for cigar smokers and makers particularly in Florida, where thousands make their living off cigars, and in Latin nations where most cigars are rolled. “The actual impact on this is probably 500,000 jobs,” said Christian Eiora of Camacho Cigars. “And these are the people, if they don’t have a job, these people will end up crossing the border and adding to the immigration problem we have now.” . . . Congress plans to use the revenues from the new cigar tax to help fund healthcare for low income children. . . . [Read More] See also: Cigar tax: A job killer ARRA Editor: If they get their way and fund the healthcare for low income children with Cigar taxes, what are they going to do when people stop smoking Cigars - tax the rest of us to cover this program? Also, who's going to pay for the loss of 500,000 jobs? [More unemployed illegals on the way to the U.S.] Blanche Lincoln is fooling no one. She is for restriction of free speech by Christians & Radio Talk show hosts, for amnesty and legalization of illegal aliens, for federal funding to support illegal immigrants, against the war on terrorism, wants to repeal the Bush tax breaks and now seeks to tax 50,000 Americans out of work by adding this 20,000% tax on Cigars. I don't smoke but Lincoln and the other tax happy liberals will soon get around to the things that we all like. Taxpayers Unite - this is not just a Cigar tax issue!

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Tags: Blanche Lincoln, Cigar tax, taxation