With new president comes new cigar tax

[baba]

With a change of Presidents comes a new push to get a cigar tax like last year.
Obama has promised as first order of business to push SCHIP through in the first 3 months of his term. This could raise cigar taxes up to $10 per cigar.
This was the child heal care package that would give insurance for children to families that had incomes 3 times over the poverty level; up to $80,000 a year.
If the senate and house and new president really wanted to help with health care, I feel a better bill would be to cover all families at or under the poverty level. Why just childre, and why over the poverty level.
I would agree to some tax to help all at the poverty level, but not just for children, and not such a high tax that would close cigar and tobacco shops.
If the tax goes through shops will close, manufactures will close, unemployment will go up, and tax revenue will decrease.
Looks like I will be joining CRA, building a walkin humidor, and buying as many boxes that I can before the tax is enacted.

[mhlatke]

I'm with you bro! The whole SCHIP bill is ludicrous and destined to fail. All it will do is drive smokers away or underground - and then where will the funding come from?. Personally, I have a solid stash and will continue to add to it - while I still can - but I will not pay the outrageous prices projected when this passes. My cigars are for enjoyment and I will not go broke over them. I will cut back my smoking and find other ways to get sticks when I can. One thing I have learned is that in America, there's always loopholes - and things just happen to fall off trucks all the time (or so I've heard)

[Coop D]

time to stock up!!!

[GotaCohiba-cl]

Buy now boys and girls!!!!!

[baba]

I am going to check out an Indian smoke shop, and see if they get around federal taxes. If they do - sorry, I can not and will not pay $16 for a six dollar ciar.

[Camacho Junior]

Holy crap!!! I'm with baba I'm not paying 16 dollaz for no cigar. WOW

[mhlatke]

Originally Posted by baba

I am going to check out an Indian smoke shop, and see if they get around federal taxes. If they do - sorry, I can not and will not pay $16 for a six dollar ciar.

Interesting angle - nice!

[Damsel-cl]

in WA that's where I buy my sticks...at a reserve Cigar Shop...and I can still smoke in the lounge...

poop poopy doop...

[BigBuddha76]

a good thing would be to start the pressure now on the reps...write letters, call, make them remember that you are a voter as well

[GolfNut]

Originally Posted by baba

With a change of Presidents comes a new push to get a cigar tax like last year.
Obama has promised as first order of business to push SCHIP through in the first 3 months of his term. This could raise cigar taxes up to $10 per cigar.
This was the child heal care package that would give insurance for children to families that had incomes 3 times over the poverty level; up to $80,000 a year.
If the senate and house and new president really wanted to help with health care, I feel a better bill would be to cover all families at or under the poverty level. Why just childre, and why over the poverty level.
I would agree to some tax to help all at the poverty level, but not just for children, and not such a high tax that would close cigar and tobacco shops.
If the tax goes through shops will close, manufactures will close, unemployment will go up, and tax revenue will decrease.
Looks like I will be joining CRA, building a walkin humidor, and buying as many boxes that I can before the tax is enacted.

I certainly hope they figure a way to get cigars out of this, but it seems doubtful. However, from what I've read, how will we see a $10 per stick increase? the way it's worded there would be a $3 cap per cigar:

" The Senate version, H.R. 976, currently proposes to increase the OTP excise tax rate on cigars to 53.12 percent with a $3 cap per individual cigar. " Source IPCPR

Granted, that would take a $6 cigar to $9 which still sucks ass but would not likely cause us all to give up the hobby.

That said, we'll be doing all we can to stock up in advance!!

[mikejh-cl]

thats his first order of business in office? ridiculous. is the goal of CRA to get cigars exempted from the tax?

[Deuce Da Masta]

Originally Posted by GolfNut

I certainly hope they figure a way to get cigars out of this, but it seems doubtful. However, from what I've read, how will we see a $10 per stick increase? the way it's worded there would be a $3 cap per cigar:

" The Senate version, H.R. 976, currently proposes to increase the OTP excise tax rate on cigars to 53.12 percent with a $3 cap per individual cigar. " Source IPCPR

Granted, that would take a $6 cigar to $9 which still sucks ass but would not likely cause us all to give up the hobby.

That said, we'll be doing all we can to stock up in advance!!

The problem is, this tax raises the price of a $6 cigar to a $9 cigar before state taxes. Michigan has a 32% tax on cigars, plus 6% sales tax. Your looking at $12+ for a $6 stick! That alone will drive a lot of people to stop smoking the "occasional" cigar and put a lot of smaller B&M's out of business.

[Camacho Junior]

I was looking it up today and there are some that are worded as a 3 dollar cap and some that are worded as a 10 dollar cap. CRA said a 6,000% tax increase. Either way it's before state tax. Jeez!

[GotaCohiba-cl]

I talked the wife into letting me go ahead and spend the next 2 yrs cigar budget before he takes office.
I see this as the end of a good thing for many, most of the smaller B&M's will fold.

[GotaCohiba-cl]

Originally Posted by BigBuddha76

a good thing would be to start the pressure now on the reps...write letters, call, make them remember that you are a voter as well

Congrats to all those that voted Democrat!!!!!!