I heard that the new congress is going to vote on this tax increase again in the new session. This tax would raise the price of cigars tremendously! According to some of the articles I have read, it would raise the price of a cigar anywhere from $1 up to $10 per cigar. I believe Bush vetoed it twice, but I doubt Obama will. Also, it might be a good idea write your congressman and Senator, here is the link for you if you would like to find out who your representative is, you can also email him from the site. I believe this tax will hurt the cigar industry which already faces tough challenges, not to mention all the our favorite cigar shops this will affect. Please take a moment and send an email to your reps urging them not to vote for this tax increase. The House of Rep - https://writerep.house.gov/writerep/welcome.shtml for the Senate: http://www.senate.gov/general/contact_information/senators_cfm.cfm

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"Long ashes my friends"

As expected, an attempt by the U.S. House (on January 23) to override the President's second veto of an expansion to the State Children's Health Insurance Program failed to gain a two-thirds majority. The proposed SCHIP legislation, if enacted, would have raised the federal excise tax on cigars by up to 6,000%. Although the current SCHIP program was previously extended through March 2009, with no increase in the cigar tax, it is still possible that another attempt to expand the program by raising taxes on tobacco products will be made before that time. However, for the time being, the opprobrious proposal to increase the federal excise tax on cigars by such a ridiculous amount appears to be dead in the water. This week, U.S. cigar smokers have a legitimate reason to light one up and really celebrate!

Yes, thanks for calling this to our intention. I will read more and respond accordingly. I believe you are right that Obama would be more prone to the sin tax. But no, I am not opposed to smoking more than one cigar at a time... :)

Actually Bush vetoed it twice. Obama's team has stated that BO would not veto. Bummer.

cubbychubby:

Actually Bush vetoed it twice. Obama's team has stated that BO would not veto. Bummer.

That's exactly why we need to contact our house reps and senators to make sure they vote down the bill before it ever makes it to Obama's desk...I don't know about you, but I already pay enough in taxes.

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"Long ashes my friends"

From what I've read, the proposed ceiling on the tax would be $3 per cigar. That is still a ridiculous amount, and the whole idea is ridiculous....to fund a program purely with revenue from an industry with ever decreasing sales sounds to me like a plan that is destined to fail. Personally, I'd rather see a higher sales tax, which would more than likely generate more revenue, than a tax that singles out one facet of an industry. That's not to say I want a higher sales tax, but if a tax has to be had somewhere, I'd rather see it there.

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"Beliefs are neat. Cherish them, but don't share them like they're the truth" Bill Hicks

I agree. I really like to see them do away with income tax completely, and go to higher sales tax. I didn't like Forbes much, but I liked that idea from him. There is only so much money in the kettle - to do away with the IRS would free up some revenue. It'll never happen - to many gov't employees.

Has anyone wrote up anything pertaining to the proposed mandate in legal-ese? I would be happy to cut and paste and affix my name - as I assume most would here.

there is a bigger issue than the cost of cigars/tobacco here.

the program will only increase in size because that has been the trend in both government programs and the population. with an increasing program and a decreasing population that has anything to do with tobacco the funds needed for the program will be harder and harder to gather. the system that is being set up is flawed from the start. It is a bad idea that cannot work as stated on paper.


...and its the highest percentage tax increase on any product in US history.

but, elections have consequences. this is what we have to deal with when the President, House, and Congress are all democrats. Tax and spend. Government programs.
hold on to your wallets....

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Kuzi's cigar catalog blending 101 developing your palate

Yep...well said.

Well stated kuzi...as I mentioned in my reply, I feel this is a program destined to fail. To add to that, I don't think the government will let it fail, they will just invent revenue from other places.

You're absolutely right that the issue is bigger than tobacco costs, I addressed that in particular being as it is probably the most relevant part of the issue to this forum. There are a whole host of reasons I don't like this idea, chief among them being that it stinks of socialism and I think there is already enough of that going on, that and the cost of socialized medicine, as you pointed out, can only go in one direction.

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"Beliefs are neat. Cherish them, but don't share them like they're the truth" Bill Hicks

Better stock up now. I've got a head start. :-)

I just emailed my congressman and both my Senators about this Tax legislation, if I get a response, I will let everyone know what they say.

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"Long ashes my friends"

I'm just speechless. What a crap idea. For a guy who speaks of making change Obama is really pissing me off. This is just crap, that's all I have to say. Well if anything I doubt this (if passed) will go into effect immediately, but still it just is wrong. To be honest I didn't think there was such hatred towards cigars. Cigs I could see since so many smoke them and it's such a big business but cigars are already so expensive. There's a talk radio station here that every friday has a congressman on it, I think I'm going to give it a call and bring up this issue.

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It's going to get to the point where it'll be cheaper to buy illegal and support a communist regime, vs....well, what's this called again?

A 6,000% increase on anything is ludicrous. The CRA has a great video clip about how many workers in Honduras, Nicaragua and the DR will be affected. They estimate massive job losses due to decreased sales. Also, even if sales did remain the same, the total amount of revenue raised is estimated to be only 5% of the SCHIP funds needed the first year and it will only increase each year. I would not blame anyone for going to canada to buy stogies or have them smuggled in through Mexico. I don't want to have to be a criminal but this is getting out of hand. I know they are saying a cap of $3 per stick, but that is an extra $60 per box! People won't quit smoking cigars, they will just get them cheaper another way. Look at prohibition, people didn't stop drinking and the country lost a lot of money fighting sales and production of alcohol. How many tobacco shops will go under if this passes? How many cigar companies will fold? How many workers in other countries will have to find a new way to feed the family? Write and or call your senator and congressman. Join the CRA. Our voices need to be heard.

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I need a bigger humidor...

phobicsquirrel:

I'm just speechless. What a crap idea. For a guy who speaks of making change Obama is really pissing me off. This is just crap, that's all I have to say. Well if anything I doubt this (if passed) will go into effect immediately, but still it just is wrong. To be honest I didn't think there was such hatred towards cigars. Cigs I could see since so many smoke them and it's such a big business but cigars are already so expensive. There's a talk radio station here that every friday has a congressman on it, I think I'm going to give it a call and bring up this issue.

I agree 100%, don't forget you can also email your reps, beyond all else, the one and only thing that the politicians want is to be re-elected, so if they know that alot of there constituents are mad about this, then maybe it won't pass.

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"Long ashes my friends"