Jump to full article: New Orleans (LA) Times Picayune, 2009-04-29
Author: Robert Travis Scottt
Intro: A proposal for a $1-per-pack cigarette tax increase was snuffed out by the House Ways & Means Committee in an 11-7 vote Tuesday, signaling probable doom for any proposals to generate major new sources of tax revenue during the current lawmaking session.
House Bill 75 by Rep. Karen Carter Peterson, D-New Orleans, was projected to raise nearly $200 million annually in state revenue while reducing consumption of the cancer-causing products. It encountered opposition in Gov. Bobby Jindal's stance against new taxes and from panel members for various reasons.
"Raising the cigarette tax a dollar could place an economic hardship on people at this time," said Rep. Ricky Templet, R-Gretna, who noted lean recessionary times in Louisiana households as a reason for voting against the bill.
Rep. Mike Danahay, D-Sulphur, said he voted against the bill because it could potentially reduce retail sales in his southwest Louisiana district, which hosts many visitors from Texas driving in for the casinos and general travel.
The state cigarette tax in Texas is $1.41 per pack, compared with Louisiana's current rate of 36 cents.
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