FreedomWorks
Mar 12, 2007

Stop the Tax Schemes in Arkansas!

Contact:
Adam Brandon
(202) 942-7698

Governor Beebe and his liberal friend Gene Shelby (D-Hot Springs) are planning to raise the cigarette tax by $0.50, from its current rate of $0.59, to pay for a new state health program. Arkansas, which currently has the 34th lowest cigarette tax, would surpass the $1.00 national average as a result of this regressive tax increase. This would amount to an exorbitant 85% tax increase!

Lawmakers have a spending problem and not a revenue problem. They do not need to raise taxes on Arkansas citizens.  TAKE ACTION NOW!

While politicians tout this tax hike as a way to curb youth smoking, this idea is unproven and threatens to devastate the state’s economy. Not only does this tax increase place an unfair burden on smokers, it also provides extra incentives to seek alternative means for purchasing tobacco. Many smokers will simply purchase their cigarettes from the internet, Indian casinos or from other states.

Historically, cigarette taxes have been an unreliable source of revenue and the decline in sales hurts local business owners. TAKE ACTION TODAY and let your legislators know that you oppose a tax hike in any form.

These tax hikes are not limited to cigarettes. HB 1739 would increase the tax on all smokeless tobacco products by 8%.

If politicians want to get serious about fixing health care problems in Arkansas, they need to look at real, market-based reform and not saddle citizens with another tax increase.

Before the debate goes any further, send a clear message that you OPPOSE THIS TAX HIKE SCHEME!

Sincerely,


Dick Armey
Chairman,
FreedomWorks

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