Tuesday, March 15, 2005
Kentucky Raises Cigarette Tax
Last May, a tax hike in Virginia left Kentucky with the lowest state tax on cigarettes in the US, at 3 cents per pack. But now Kentucky has elected to match Virginia, with its own tax hike to 30 cents per pack. North Carolina now finds itself alone as a very low tax state (and presumably, has cemented its standing as a source of informal exports of cigarettes to other states). North Carolina's governor, however, has proposed raising the state cigarette levy to 50 cents per pack, and the Kentucky move will make such an adjustment more likely.
Thanks to a friend and former student of Vice Squad for the pointer.