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New Hampshire Legislature to Vote on 60% Cigar Tax

February 17, 2008

lightingcigar.jpg Leave it to the Democrat majority in New Hampshire to come up with anther way to put small businesses out of business. The state’s budget is in disarray because of last year’s spending spree, and in order to try to come up with more money the state legislature is looking at more new taxes instead of just not spending money they don’t have. The latest tax on the agenda? A cigar tax. And not a small one either.

 New Hampshire legislators will be voting on a 60% cigar tax. That is an increase of…… 60% as New Hampshire has no cigar tax currently! Talk about going after the whole kit and caboodle huh? This is anther example of spending gone crazy in New Hampshire. All this is going to do is put smoke shops out of business further slowing down the economy that Governor Lynch is blaming his spending woes on in the first place. More liberal double-speak and hypocrisy here. Can’t you New Hampshire voters realize what is going on here. WAKE UP!

 Just look at this editorial for the effects of what this cigar tax will do to New Hampshire businesses. Here is an excerpt:

“In 1996, Massachusetts was going to pass a tax on cigars from zero to 15 percent. As the biggest retail store in Boston at the time, I said you are going to force me to move,” he said.

“They did it, we moved up here to Salem, N.H., and our business thrived.”

Massachusetts doubled that tax to 30 percent in 2002, and Garofalo’s business increased again.

David Garofalo, owner of Two Guys Smoke Shop was forced to move to New Hampshire when Massachusetts imposed a FIFTEEN PERCENT tax on cigars, that is only a quarter of the tax sugested here! How is this man supposed to keep his business? Do liberals in New Hampshire even care about small businesses? I don’t think so. 

Making matters worse for business is this brilliant idea:

The tax would apply to all inventory, not just each cigar sold. So a dealer such as Garofalo, with an 8,500-square-foot store and thousands of cigars in stock, would suddenly have to hand tens of thousands of dollars to the state for the privilege of continuing to do business.

 That is what is going to cripple the small cigar shops in the state. But that’s not all, if you look at the numbers I posted above you will notice that New Hampshire will now have a tax of over double what Massachusetts cigar tax is, so you can now kiss the Massachusetts customers good bye, as well as New Hampshire border residents who will now go to Massachusetts to buy their cigars. Who ever thought we would see the day where people from New Hampshire went to Massachusetts to save on sales tax? Unbelievable. So much for those commercials that tell Massachusetts residents to come to tax free New Hampshire. The New Hampshire advantage is flying out the window, much like a bird once it’s loose you will never be able to get it back again.

 Good bye New Hampshire, it was good to know you!

5 Comments leave one →
  1. Deb permalink
    February 17, 2008 11:55 am

    How much chance does the bill have of passing? Is there anyone sticking up for small businesses up there in Concord? 60%? Pardon the non PC comment, but that is just retarted.


  2. February 17, 2008 8:26 pm

    I think it probably has a good chance to pass, New Hampshire faces a budget shortfall and they are looking to create more revenue, they aren’t looking at the big picture.


  3. February 17, 2008 9:53 pm

    Wow! Those bastards. They just keep going after tobacco and people keep bending over and taking it. Why? I don’t get it. I know that tobacco isn’t politically correct or anything, but is it ok to single out and bleed a group simply because you know that nobody will stand up for them?

    As always, their actions are absolutely reprehensible.


  4. victor vitale permalink
    February 20, 2008 6:38 pm

    Before you pass a tax law on premium cigars, you should know about the premium cigar business. I’ll give the brief explanation. Zero tax on Premium Cigars keeps business in the state of NH. If you impliment a tax of any size, you will force the NH state premium cigar business (consumers) out of the state. How? Mail order… The result of a NH tax is: more out of state mail order business and less NH in-state business. Cigar stores will go out of business. More unemployed clerks and former business owners. Less sales of cigars in the state of NH. Less taxes collected by NH. NO MONEY GENERATED FOR THE STATE. People in Concord need to consult an industry expert before trying to pass taxes. Wake up! The Premium Cigar industry is WAY too small to tax. Do you even know?


  5. February 10, 2009 4:47 am

    I cannot believe they would tax cigars over cigarettes. Cigars are more of a luxury item with no addictive side effects and less harmful.

    Cigarettes are the way to go with a tax.


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