Thursday, March 13, 2008

Prediction: Cigarette Black Markets (Avoiding Taxes)

Hello All,

I only make a few predictions when I post here to my blog site. With that stated when I see a trend that has been evolving for nearly a generation now. It is nearly safe to make this prediction that cigarettes will eventually be so consumer cost prohibitive that they will be criminalized in use.

Recently the State of Florida has passed legislature that would increase the tax on Cigarette sales by a full US Dollar. I'm not poo-pooing this since I myself am a non-smoker. Since the increased State tax revenue I believe will be going toward education dollars of our State wide school system.

Already in this recession we're in across the Nation taxes on cigarettes be it a full cartoon or by the pack. Is becoming cost prohibitive to the point a "Black Market" will take advantage of this imposed trend on consumers. Whether this black market appears in your local streets from peddlers or by the Internet E-Commerce websites based off-shore.

State and local governments are hell bent on increasing taxes on cigarettes to the point of an eventual soft prohibition. Where it can be argued due to the health effects that State governments are outlaying on health care costs for smokers (past or present). That a prohibition of cigarettes will be occurring classifying them as an illegal substance at least in the U.S. . Abroad internationally this will be clearly a different story in non-Western nations where cigarette manufacturers are making the bulk of their income.

When and not so much If cigarettes become a form of legalized prohibition in America. Be it by making them very consumer cost prohibitive as a luxury goods at least when taxes are involved.
A soft form of prohibition could be regulated into place concerning the usage of cigarettes.

Where law enforcement will begin to chase its own tail with additional responsibilities in policing this trend. Of closing down black markets of cigarette sales that are avoiding paying taxes at retail. Doubling this where cigarette goods will be imported by smugglers much like in drug & human traffickers that is occurring today in America. So as to supply said black markets from abroad where cigarette use will be sky rocketing like it was in the U.S. 1940's.

It's not so much a form of human rights to protect the health of non-western nations (consumers) when concerning the usage of cigarette smoking. But that's another topic I will not get into currently.