RTDA's Take Action Now Against New Proposed Tobacco Tax Bill for SCHIP, Update!!!

At 2 am this morning, the House Ways & Means Committee approved H.R. 3162, a bill to expand the State Children's Health Insurance Program (SCHIP) to be funded by higher tobacco taxes and cuts in the Medicare Advantage Program. At this time, the full House and Senate are expected to consider their respective measures next week. The House bill would increase the tax on large cigars to a new rate of 44.63% with a tax cap of $1 per cigar. There was some talk of trying to reduce the rate to 33%, but this would result in a revenue loss projected at $1 billion over 5 years. There was no interest in reducing the $1 cap. The tax on pipe tobacco would go to $1.26 per lb. Floor stocks taxes would be assessed on cigarettes only, payable on April 14, 2008. Under the Senate proposal, large cigars would be taxed at 53.13% of the manufacturer's sale price (capped at $10 per cigar) and pipe tobacco at $2.8126 per lb. Floor stocks taxes would be assessed on all tobacco products from the manufacturer through the retailer level, payable on April 1, 2008. Both bills would make the effective date of the tax increases January 1, 2008. Currently, large cigars are taxed at a higher rate than any other tobacco product. Indeed, the current tax is higher than any other product on which the IRS levies a federal excise tax. The new tax proposals would make this discrepancy even more outrageously pronounced. Many of you have already contacted both Chambers of Congress—do it again! Persistence pays off! We must all continue contacting your Congressmen or Congresswomen and Senators and urge them that they seek reductions in the cigar tax increases. We will provide you with additional information as news becomes available. Click on the "RTDA's" title to "Take Action"

Good things come to those who wait!

I want to take this time to say hello to all of you cigar enthusiast's. I am dedicating this blog to all you men and woman who enjoy a great cigar. I am in the process of putting this very informative blog together and while "UNDER CONSTRUCTION" items of interest will appear. I have a wealth of information, and yes, my finger is on the pulse of this industry. So please be patient, because putting this blog together is definitely not an overnight project. I promise to provide you with up to date information on what this great industry has to offer. I promise to make it easy for you to access extremely valuable and useful information that took me years of trial and error. So sit back and relax, because this blogs for you, well really me, but OK, you!

Best regards,

Vinvango