Tobacco News and Interesting Information

Americans for Prosperity-Kansas has launched a new web page dedicated to informing Kansas residents about how an increased cigarette tax could cost the state revenue, instead of bringing in additional revenue as suggested by the Democrats.

During this year's State of the State address, Gov. Mark Parkinson announced his proposal of increasing cigarette taxes from 79 cents a pack to $1.34 per pack.

The AFP web page provides details and examples of how the tax would cost the state in tax revenue.

"History has shown us that raising the cigarette tax has not increased the revenues coming into the state over the long run," said AFP-Kansas State Director Derrick Sontag. "There may be an initial boost, but with nearby states like Missouri only adding a 17-cent tax per pack, more Kansas smokers are likely to cross the state line to purchase cigarettes."

The new Web page highlights a study "Masters of Tax Avoidance: Kansans and the Cigarette Excise Tax, 1927-2009," which examines the pattern of how previous state cigarette tax increases resulted in loss of revenue. The study was compiled by Patrick Fleenor, a chief economist at the Tax Foundation, a non-partisan tax research group based out Washington, D.C.

"Over the last eight decades, smokers in Kansas have shown themselves to be quite sensitive to excise tax hikes, though probably not in the way that supporters of these tax increases intended," Fleenor writes in the study. "Instead of quitting their habit, many smokers simply flocked to neighboring states and other oases from high taxes."

In the last few years, the Democrats have pushed for a statewide smoking ban while concurrently attempting to gain revenue from smoking by increasing cigarette taxes. While the smoking ban has passed both chambers and is awaiting a signature from Parkinson, the cigarette tax proposal has not gained as much support from legislators.

Just last week the Senate expressed its disapproval of a tobacco tax increase and voted the initiative down with an 18-21 vote.