Excise Taxes

National

Children’s health bill approved by House
The U.S. House of Representatives voted 225-204 to expand the federal health insurance program for children from low-income families (SCHIP) through a 45-cent increase in the federal tobacco tax. The increase, which has sparked a divisive debate among Democrats and Republicans, has pitted the welfare of children against a perceived move towards government-run healthcare. If approved, the bill would generate an additional $47 billion for the SCHIP program over the next five years, which would grant an additional 5 million children access to medical, dental and mental health care.  It would also give states the option to extend coverage for Medicaid and SCHIP up to age 20, broaden preventive screening services for seniors on Medicare, and prevent cuts for physician reimbursements under the Medicare plan. Click here to read more or click here to read the Campaign for Tobacco-Free Kids’ response written by Executive Director William V. Corr.

Senate approves wider kids’ health program
The U.S. Senate voted 68-31 in favor of a bill that would expand the federal health insurance program for children from low-income families (SCHIP) through a 61-cent increase in the federal tobacco tax. This expansion of SCHIP would extend coverage to an additional 3 million children by generating $35 billion over the next five years, and is more conservative than similar legislation approved in the House of Representatives that would cover an additional 5 million children. Despite bipartisan support and backing by a majority of Americans, President Bush has threatened to veto a large extension of the program. Click here to read more or click here to view the Campaign for Tobacco-Free Kids’ response written by Executive Director William V. Corr.

Taxes trigger big drop in U.S. smoking: USA Today report
A recent analysis of tobacco taxation and rates of consumption by USA Today provides additional evidence of the powerful effects of increasing the tobacco tax. The analysis revealed that higher state taxes on tobacco products are associated with larger reductions in current smoking, and that the degree of decline is directly related to the magnitude of the tax increase. In other words, states that have passed large increases in the tobacco tax tend to have experienced more pronounced drops in the percentage of current smokers. To read more, click here.

Wisconsin: Health groups launch campaign for cigarette tax hike
Smokefree Wisconsin, in conjunction with the American Cancer Society, the American Lung Association, and the American Heart Association, has launched a grassroots campaign to advocate an increase in the state cigarette tax. The proposed $1.25 increase per pack, which would raise the tax to $2.02, is currently in front of the state legislature. The advocacy efforts have included direct mailings to over 200,000 voters, visits to more than 50,000 homes across the state, and radio advertisements, which encourage voters to contact their local representatives. Click here to read more about the campaign.

top

Back to Table of Contents