IL Executive Committee Approves $1.00 Cigarette Tax Hike

CHICAGO—”The one-dollar-a-pack cigarette tax increase passed by the Illinois Executive Committee Wednesday, S.B. 6, more than doubles the current state tax to $1.98 a pack and falls most heavily on low-income and minority residents of Illinois,” said Jim Tobin, President of National Taxpayers United of Illinois (NTUI). “In combination with the astronomical price of gas, locally owned gas stations along the state line will face a devastating loss of business with this cigarette tax increase.”

“High taxes on items such as cigarettes encourage people to shop across state lines where taxes are lower,” said Tobin, “placing Illinois at a competitive disadvantage to the surrounding states of Missouri ($ .17 tax), Kentucky ($.60), Indiana ($ .99), and Iowa ($1.36).”

“This kind of tax gouging not only drives economic activity out of Illinois, but also reduces revenue while inviting more illegal, black-market activity and everyone pays for the increased criminal activity this will bring to the state. This cigarette tax hike is a cynical, destructive tax hike on the poor and reinforces the state’s out-of-control spending.”

“Rather than passing such an onerous, regressive tax increase that will go to fund the lavish, gold-plated pensions of government employees, the state should eliminate redundant jobs and pass meaningful pension reform legislation,” said Christina Tobin, Vice President of NTUI. “The senators and representatives supporting this bill should not be reelected and need to be kicked out of office in the next election.”

Click here to view CBS TV’s coverage of the sky-rocketing gas tax.

While IL struggles to maintain jobs, Gov. Walker is creating them.

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