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Published: February 06, 2006 11:44 pm    print this story   email this story  

House dems want higher cigarette tax

Bill more to deter youth than earn state revenue

Mannix Porterfield
Register-Herald Reporter

CHARLESTON — Smokers and chewers are smack inside the bulls-eye once again of House Democrats, with the aid of a lone Republican.

In a bill fashioned Monday by Speaker Bob Kiss, D-Raleigh, and eight fellow Democratic lawmakers, along with Delegate Jeffrey Tansill, R-Taylor, the tax on a pack of cigarettes would go from 55 cents to 95 cents.

Smokeless tobacco would be assessed at the rate of 15 percent of the retail rate, up from the existing 7 percent.

In another tax measure, a bi-partisan bill called for a revival of the three-day tax holiday on back-to-school purchases — an idea launched by former Gov. Bob Wise, but scorned last year by his successor, Joe Manchin.

The tax holiday bill calls for the weekend special to be held in August, a time when parents are outfitting children for the fall school term.

Two sponsors insist the intent of the tobacco bill is not to generate more money for the state’s coffers, but to serve as a deterrent to youth by making the price of such products unaffordable.

Republicans half-heartedly accept that principle, but insisted upon learning of the bill that it be accompanied by a corresponding cut in other taxes — first off, the 5 percent one on groceries.

“I see it not as an opportunity not to raise taxes, but an opportunity to prevent teenagers from chewing tobacco and smoking,” Delegate Joe Talbott, D-Webster, said.

“That was my intent in being on that bill. I see it as a deterrent.”

Another co-sponsor, Delegate Richard Iaquinta, D-Harrison, said experience with higher tobacco taxes proves a reduction incrementally in the number of minors smoking or dipping in line with the amount of the levy.

“That’s really what we’re concerned with,” he said.

“It would have a big impact on people under the age of 18 not being able to afford tobacco products.”

When lawmakers jacked up the cigarette tax a few years ago from 18 to 55 cents, it had “a tremendous impact and that’s basically what we’re trying to do,” Iaquinta said.

“That’s the primary goal of this bill.”

Republicans in both houses said they aren’t opposed to anything than can deter youths from using tobacco, but feel other taxpayers deserve a break in the process.

“From a Republican perspective, we don’t need any more revenue in this state government,” Delegate Mitch Carmichael, R-Jackson, said.

“We are flush with revenue. We need to be providing some tax cuts and some tax reductions.”

Carmichael called for a balance, starting with a drop in the tax on food.

“The only way I think anyone in our caucus would go for that would be to have a corresponding offset in taxes somewhere else,” he said.

“It’s just ridiculous to propose additional tax revenue in an environment like this. It’s just another typical proposal from that side of the aisle.”

Senate Minority Leader Vic Sprouse, R-Kanawha, agreed, saying lawmakers need to look for tax breaks in other areas if the tobacco industry is to be hit.

Sprouse not only mentioned the food tax but business franchise as well.

“We should be talking about tax reductions, not tax increases,” he said.

Without a corresponding cut in some other realm, he predicted the House bill would encounter “very stiff resistance.”

“I think the first thing you look at would be the food tax,” he said.

“We’re looking at $1 billion worth of surpluses. I think we can give a little bit of that back to the people of this state. I certainly don’t think that’s too much to ask.”

— E-mail: mannix@register-herald.com

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