| "If you can't send money, send tobacco." ~ George Washington, (February 22, 1732 - December 14, 1799) was the commander of the Continental Army in the American Revolutionary War (1775–1783) and served as the first President of the United States of America (1789–1797). For his central role in the formation of the United States, he is often referred to as the father of his country. He would be very shocked to find that US politicians are currently engaged in a war against the freedom to smoke. |
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| | | | Cigarette and Tobacco News:Border Zone Cigarette Taxation: Arkansas's Novel Solution to the Border Shopping ProblemFiscal Fact No. 168 Read complete article: Tax Foundation, 2009-04-09 Author: Mark Robyn
Summary: On February 12, the Arkansas General Assembly passed legislation to increase the state's excise rates on all tobacco products. As required by the bill, on March 1 the cigarette tax went from 59 cents to $1.15 per twenty-pack.1 But the same tax rate will not be enforced statewide. In a novel provision, the legislation, Act 180 of 2009, included a lower, variable rate for certain towns and stores located near the Arkansas border. . . .
Arkansas legislators are shrewdly acknowledging that cross-border shopping for low-tax cigarettes is a major problem for tax enforcement. To retain tax revenue and stop tax evasion, Arkansas has established a low-tax zone on its own side of the border. If this policy is successful in Arkansas other state legislatures may follow suit. To understand the rationale for this policy, the first of its kind among states, it is necessary to understand the problems that sometimes accompany cigarette taxation. . . .
It is important to note that this policy effectively shrinks the "tax border" of Arkansas. While there is still a minimum rate differential of three cents between Arkansas and any low-tax neighbor, this amount is small enough to provide almost no incentive for Arkansas residents to buy in other states. A significant tax differential does still exist however. The differential is now between different jurisdictions within the borders of Arkansas rather than between Arkansas and other states. . . .
Conclusion
Arkansas's border zone tax policy is a first in the world of cigarette excise taxation. This choice of policy is an acknowledgement of what many policy experts have been pointing out for a long time, that cigarette excise taxes are very susceptible to evasion through border shopping and other means, and that as tax differentials increase, these illegal activities become an increasing problem. Arkansas's policy may be successful enough that other states will consider similar policies in the future. While the policy will likely reduce border shopping and increase revenue to some degree, there are pros and cons that need to be weighed when states are considering whether to implement such a policy. The Arkansas experience will be instructive.
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| | | New Jersey State Trivia and Facts:During a tornado in Ponca City, a man and his wife were carried aloft in their house by a tornado. The walls and roof were blown away. But the floor remained intact and eventually glided downward, setting the couple safely back on the ground. |
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| |  | | Tobacco History: Cigarettes and Literature | The Social History of SmokingGeorge Latimer AppersonChapter 14:In remote English and Welsh parishes men seem occasionally to have smoked in churches without any intention of being irreverent, and without any consciousness that they were doing anything unusual. Canon Atkinson, in his delightful book "Forty Years in a Moorland Parish," tells how, when he first went to Danby in Cleveland—then very remote from the great world—and had to take his first funeral, he found inside the church the parish clerk, who was also parish schoolmaster by the way, sitting in the sunny embrasure of the west window with his hat on and comfortably smoking his pipe. A correspondent of the Times in 1895 mentioned that his mother had told him how she remembered seeing smoking in a Welsh church about 1850—"The Communion table stood in the aisle, and the farmers were in the habit of putting their hats upon it, and when the sermon began they lit their pipes and smoked, but without any idea of irreverence." In an Essex church about 1861, a visitor had pointed out to him various nooks in the gallery where short pipes were stowed away, which he was informed the old men smoked during service; and several of the pews in the body of the church contained triangular wooden spittoons filled with sawdust.
Read More | The Social History of SmokingGeorge Latimer AppersonChapter 9:By 1830 smoking had so far "come in" again that a considerable proportion of the members of the House of Commons were smokers. Macaulay has drawn for us the not very attractive picture of the smoking-room of the old House of Commons—before the fire of 1834—in a letter to his sister dated in the summer of 1831. "I have left Sir Francis Burdett on his legs," he wrote, "and repaired to the smoking-room; a large, wainscoted, uncarpeted place, with tables covered with green baize and writing materials. On a full night it is generally thronged towards twelve o'clock with smokers. It is then a perfect cloud of fume. There have I seen (tell it not to the West Indians), Buxton blowing fire out of his mouth. My father will not believe it. At present, however, all the doors and windows are open, and the room is pure enough from tobacco to suit my father himself." In July 1832 he again dated a letter to his sisters from the House of Commons smoking-room. "I am writing here," he says, "at eleven at night, in this filthiest of all filthy atmospheres ... with the smell of tobacco in my nostrils.... Reject not my letter, though it is redolent of cigars and genuine pigtail; for this is the room— The room,—but I think I'll describe it in rhyme, That smells of tobacco and chloride of lime. The smell of tobacco was always the same: But the chloride was bought since the cholera came."
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