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ALBANYЧCigarettes went up another $1.25 a pack in New York State Tuesday with the implementation of an additional excise tax which supporters claim will help smokers quit and prevent youth from starting.But opponents donТt agree. Rather than compelling New Yorkers to quit smoking, the June 3 cigarette tax increase will cause millions of smokers to shift their purchases to unlicensed, unregulated, untaxed sources of supply. УSadly, itТs just going to feed the cigarette tax evasion epidemic that the State of New York has allowed to run rampant for the past 10 years,Ф said James Calvin, president of the New York Association of Convenience Stores. УNew York already loses $1 billion annually due to Сtax freeТ sales by Internet vendors, Native American tribal stores, and black market entrepreneurs,Ф he said. УHalf the smokers in New York State admit buying from these outlets. The tax hike nearly doubles the incentive for the rest of them to follow suit.Ф NYACS predicts the intensified tax evasion stampede will be disastrous for state revenues, public health, and small businesses. They say: ЦIt will hinder, rather than help, anti-smoking efforts by driving more sales to outlets beyond the reach of tobacco regulation, such as monitoring by state or local health departments to detect and punish sales of cheap cigarettes to children.
