Tobacco.org

Tobacco Tax Estimates Remain Right On Target  

Money flowing into the state from the higher cigarette tax remain on target, with economists Wednesday sticking by earlier forecasts that a dollar per pack boost enacted this spring will pull in $850 million this year.

The cash-flow is strong even as cigarette sales fell with higher prices – particularly in North Florida counties adjacent to states with cheaper smokes.

“I think the legislation is working exactly as we’d hoped,” said Rep. Jim Waldman, D-Coconut Creek, who sponsored the cigarette tax hike last spring. “Not only are we bringing in more revenue, we are reducing consumption.”

Waldman downplayed the impact of cross-border sales. But statistics compiled by the Department of Business and Professional Regulation, which tracks sales, show the biggest declines are in border counties – raising questions about whether people are smoking less, or just traveling out-of-state to get cigarettes.

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