March 24, 2009
South Carolina Considers Hefty Cigarette Tax Hike
by Joseph Henchman
The Speaker of the South Carolina House of Representatives has introduced a bill to raise the state cigarette tax from 7 cents to 57 cents, a 714% increase expected to raise $139 million.
The increase would push South Carolina's tax higher than its neighbors, so it may not bring in the revenue they expect. More importantly, the fairness of taxing a small group of politically unpopular (and mostly low-income) people to fund government programs for all should be considered. This can lead to budget instability as citizens demand more government than they are willing to pay for.
More on cigarette taxes here.
The Tax Policy Blog is the official weblog of the Tax Foundation, a non-partisan, non-profit research organization that has monitored tax policy at the federal, state and local levels since 1937. Our economists welcome your feedback. If you would like to send an e-mail to the author of a blog post, please click on that person's name to locate his or her e-mail address or visit our staff page here.
Monthly Archives
Disclaimer: All views expressed on the Tax Foundation’s Tax Policy Blog are those of the individual authors, and do not necessarily represent the views of the Tax Foundation, its Board of Directors, or its financial contributors. The Tax Foundation makes no representation concerning the views expressed, and does not guarantee the source, originality, accuracy, completeness or reliability of any statement, information, data, finding, interpretation, advice, opinion, or view presented.