Mar 03 2008
Legislature Debates Cigarette Tax
COLUMBIA — Lawmakers are debating how much to increase South Carolina’s lowest in the nation 7 cents per pack cigarette tax and how to spend the money.
Tax proposals:
– Increase the tax 30 cents, raising $141 million. House approved this increase last year.
– Increase the tax 45 cents, raising $198 million. A Senate panel is considering the larger increase.
Other cigarette taxes:
– $2.58, New Jersey, the nation’s highest.
– $1.12, U.S. average.
– 37 cents, Georgia, ranked 43rd nationally.
– 35 cents, North Carolina, ranked 45th nationally.
Spending proposals:
– Gov. Mark Sanford wants to use the money to offset costs for an optional flat-tax program.
– The House last year called for the money to be used mostly to cover elimination of sales taxes on groceries.
– The Senate wants the money put in a trust fund and used for health care, including expanding Medicaid programs and creating tax credits to make insurance more affordable.
Why in a Republican controlled Senate are there discussions of expanding Socialist entitlements?
