GOOD NEWS FOR SMOKERS, RUBBERS AND CHEWERS - Legislature Drops $1 Tax On Cigarettes

(03/01/2011)

A plan to pay down the state's retiree benefit obligations was halted by West Virginia legislators yesterday. Senate leaders had tried to tie it to an increase in the state's tobacco tax by $1 a pack. State cigarette taxes would have increased from the current 55 cents a pack to $1.55 a pack. All other tobacco taxes would have increased from 7 percent of wholesale price to 50 percent. The money generated by the increase would have been used for health-related programs, not just the $8 billion, other post-employment benefits, problem. One item it would have covered was for insurance coverage for autistic children. West Virginia is among the states that do not mandate that insurance companies cover treatment for autistic children, which can run as much as $30,000 a year.

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