South Dakota Increase Taxes on Tobacco (2006)

From Ballotpedia

Voting on Tobacco
2008
Arizona Tax on Marijuana North Dakota Tobacco Petition
2007
Oregon Ballot Measure 50
2006
California Proposition 86 South Dakota Initiated Measure 2
2004
California Proposition 63 Colorado Amendment 35 Montana I-149 Oklahoma State Question No. 713
News
"Smoker rates have stabilized in the last four years and we need to step up our efforts to see it trend downward. This is one of those ways to do that." says Richland County Tobacco Compliance Officer Jason Bergstrand ...more tobacco ballot news

Initiated Measure 2 is a voter initiated state statute meant to increase the taxes on tobacco products and to dedicate the revenues generated by the higher tax to the state general fund. If the higher tax generates revenue in excess of $30 million dollars, the next $5 million dollars would be dedicated to a fund for the prevention and reduction of tobacco use. Any revenue in excess of $35 million dollars would be divided among the property tax reduction fund, the education enhancement trust fund, and the health care trust fund.

The tax on a 20 stick cigarette package would be raised by $1.00; the tax on a 25 stick cigarette package would be raised by $1.25. The tax on all other tobacco products such as cigars, roll-your-own, and chewing tobacco, would increase from 10 percent to 35 percent of the wholesale price.^[1]

Contents 1 Proponents 2 Opponents 3 Result 4 See Also 5 External Links 6 References

Proponents

• The Tax Tobacco Coalition

Reasons for supporting the measure include: the creation of additional tax revenue, preventing children from taking up smoking, and to encourage adults to quit smoking.^[2]

Opponents

• Americans for Prosperity South Dakota chapter

Reasons for not supporting the measure include: it could create a black market for tobacco suppliers, encourage South Dakotans to cross the border to buy tobacco in other states, the statistics upon which the ballot measure is based include Native American reservations where the tax would not apply thereby skewing the numbers, and that it could create a need for additional law enforcement.^[3]

Result

Passed, with 60.80% of the vote going to increase taxes on tobacco products.

See Also

• South Dakota
• List of 2006 South Dakota ballot measures
• Ballotpedia:South Dakota

External Links

• Text of Initiative Petition
• Americans for Prosperity South Dakota website
• Tax Tobacco: Save Lives. Save Money. website
• High tobacco taxes won't make the problem go away

References

1. ↑ South Dakota Attorney General Explanation
2. ↑ Measure looks to reduce smoking Rapid City Journal, Nov 3, 2006
3. ↑ Measure looks to reduce smoking Rapid City Journal, Nov 3, 2006