General Discussion
In reply to the discussion: How much is the tax on one cigarette in NY city? [View all]Jesus Malverde
(10,274 posts)Cigarette tax evasion costs the state (NY) approximately $500 million in revenue every year, and the top three Internet cigarette vendors are located on Indian reservations in western New York. Annual tax-paid cigarette sales are approximately 22.8% lower compared with the year before the tax increase, but self- reported cigarette consumption, intentions to quit smoking, and quit attempts have not changed significantly.
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On July 1, 2010, New Yorks cigarette excise tax was increased by an additional $1.60 per pack with taxes on other tobacco products increasing in subsequent months. In addition, 2010 2011 New York State budget revenue projections included approximately $250 million in cigarette taxes collected through the sale of tobacco products on Indian reservations to non- tribal members. Finally, the July 2010 implementation of the federal Prevent All Cigarette Trafficking Act should effectively eliminate the sale of untaxed tobacco products over the Internet. Based on the findings of this report, it is clear that enforcing these new policies to reduce tax evasion is critical for New York to realize the full public health benefits of the 2008 and 2010 tobacco tax increases.
https://www.health.ny.gov/prevention/tobacco_control/docs/2010-11-12_tax_increase_topical_report.pdf