Categories · Business (Tobacco)
· Cross-Border/Crime
· Tax
· Tribes
USA, by State · New York
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Cigarette prices have been driven over $7 per pack in some cases following a $1.50 per pack tax increase two weeks ago. Jump to full article: Hornell (NY) Evening Tribune, 2008-06-18 Author: Rob Montana GateHouse News Service
Intro: Michael Hubric, owner of Michael John's Mini Mart on Seneca Road, said he hasn't heard a single one of his cigarette-buying customers is quitting because of the tax increase, which brought the total tax on a pack of cigarettes to $2.75. He said they're just not shopping at his store anymore.
"They are going to the Indian reservations," he said. "They're buying for friends and family members, getting 10 to 15 cartons and coming back with them, which is highly illegal.
"If smokers are going to quit, they have to want to quit," Hubric added. "If they don't, they're just going to find cheaper places to get them."
Hubric said the tax increase has made an impact on his business, as he has sold 149 less packs than last year this time, just for the period since the tax increase has been in effect. . . .
Despite the financial impact the increase has had on his store, Hubric doesn't have any problems with the hike. His issue is with the state not enforcing regulations for buying cigarettes at Indian reservations, where state taxes do not apply.
"I'm fine with it if they would enforce the law of two cartons per visit," he said, "but no one's doing anything about it.
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