Washington is considering a 20,000% tax hike on cigars. That's ten-bucks a stogie -- over and above what you already pay for a premimum smoke.
U.S. cigar makers worry the hike could put them out of business -- and no one's sue if the guy who likes the occassional smoke is going to slap down $20 or more for a cigar -- when he could get a couple of fifths of bourbon for the same price and drown his misery over high cigar prices.
Democrats in Congress want an extra $35-50-billion for state children's health insurance. Cigarette taxes would jump to $1 even -- up 35-cents over current federal taxes. Cigars currently have a 5-cents per cigar tax. But they'd see a 53% hike -- and one plan in the Senate caps the tax hike at $10 per stogie.
Sometimes a cigar is just a cigar. But to Washington everything is something waiting to be taxed. (tampabay.com)