From: John Lyon
To: Dean Sanpei,
Subject: Please Oppose HB 358: Amendments to Tax on Cigars
Date: Fri Mar 07 06:31:01 MST 2014
Body:
Mar 7, 2014 Representative Dean Sanpei State Capitol , Suite 350 350 North State Street Salt Lake City, UT 84114 Dear Representative Sanpei, As a constituent, I ask you to oppose HB 358: Amendments to Tax on Cigars. Cigars are currently taxed in Utah at 86% of the manufacturer's price. This legislation proposes to cap the tax on certain cigars at just 50 cents. We know significant price increases on tobacco products help reduce the usage of the product while increasing revenue. Since 2010, tobacco tax revenue has exceeded initial revenue estimates by millions of dollars, showing that high taxes don't cause people to purchase tobacco in other states. The most effective way to increase revenue and reduce usage is through higher prices. . Time and time again, high tobacco taxes have been proven to decrease tobacco use. Please don't let Utah take a step backwards by reducing the tax on certain cigars. Cigars are not a safe alternative to cigarettes and should not be taxed at a lower rate than they currently are because they are perceived as safer. . Please do the right thing for Utah and oppose HB 358. Sincerely, Mr. John Lyon 650 N 500 W Apt 103 Provo, UT 84601-1582