Louisiana Budget Project on Cigarette Tax

The Louisiana Budget Project informs about Louisiana’s cigarette tax connection with poor health of the state and high smoking rate.

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Louisiana’s prices for cigarettes are the lowest in the country. In accordance with America’s Health Rankings by the United Health Foundation, Louisiana has extremely high smoking rate and the second worst health record. This happens due to high rates of cancer and vasculocardiac deaths, high blood pressure. Smoking redoubles bad condition of health state.

The recent study demonstrates that high prices reduce cigarettes consumption by teenagers. By this medium, high prices provide better health state in societies in the country.

Increasing taxes on cigarettes will help raise funds for state formation, universities, health care, public safety, and reduce smoking, especially among young people. This will be a victory for Louisiana. Present taxes for cigarettes are 36 cents a pack.

In accordance with the data of the Institute on Taxation and Economic, if cigarette taxes rise by one dollar per pack to $1.36, it will add nearly $301 million a year to the state’s treasury. An increase of cigarette tax to 50 cent per pack may bring about $158 million.

Increasing cigarette taxes will see all Louisianans regardless to their revenues. Those people who have low revenues will be faced with a larger rise as a part of revenue. Stated differently, cigarette tax increases are noticeable. On the other part, the health advantages of reducing smoking are considerable, but people with low revenue do not stop smoking because they probably smoke more than people with higher revenues.

Increasing taxes on cigarettes is a good way to reduce smoking rates, particularly among young people, and to increase revenues. The Campaign for Tobacco Free Kids informs that since 2002 47 states, including District of Columbia and some U.S. states, have raised cigarette tax rates more than 100 times.

Under the Louisiana Budget Report, it is 10 years since Louisiana for the last time raised tax on cigarettes. The prices for cigarettes in Louisiana are compared with prices of 47 states and it was revealed that the cheapest cigarettes are in Louisiana.

Consumption of cigarettes in Louisiana is higher than the national average. Under the Centers for Disease Control and Prevention, more than 675,000 people in Louisiana regularly smoke cigarettes. In 2009, over 364.5 million packs with cigarettes were sold. Every man, woman and kid in Louisiana smoke nearly 1,623 cigarettes. About one in five young people of high school in Louisiana at present smoke cigarettes and almost half of those teenagers confirm that they have smoked cigarettes at some time period. Some of these young people will have habits for life, bad state of health and will be non-productive workers, weakening the state of economy.

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