Proposition 86 (California)

[Wasch_24]

Copy/pasted this from a post on the HCF board.

Dear Cigar Advocate,

California's proposition 86 (The Tobacco Tax Act of 2006) is slated to be on the statewide ballot in November. The new tax would virtually kill the cigar business in California by raising the already exorbitant cigar tax of 46% to nearly 135%! This tax would wipe out numerous retail establishments and hundreds of jobs statewide, not to mention send the cost of handmade cigars through the roof.

California is already a hostile, anti-cigar state. If prop 86 passes it will get far worse. In addition to higher taxes on your cigar purchases, California retail smoke shops will be faced with an 88% floor tax on current inventory. That means if a retailer holds $100,000 in inventory, he will be forced to fork over $88,000 in taxes immediately. The majority of retail tobacconists are small businesses - mom and pop owned stores. Make no mistake: prop 86 will spell the end for numerous retail establishments.

If you are a cigar smoker and California resident, or are simply concerned about the loss of individual rights, we urge you to take action. Spread the word and get to the polls on election day. Together we can defeat Rob "Meathead" Reiner and prop 86.

Let's put a stake in the ground - enough is enough!

Thor L. Nielsen
Cigar Advocate

For comments or questions please send all inquiries to: comments@cigaradvocate.org


Absolutely incredible!

 

[N2Advnture]

Holy schnikes!!!

WTF are they thinking?

Their beaches are some of the most toxic,
their air quality is some of the worst in country,
they have a HUGE immigration problem,
a HUGE gang problem and a HUGE problem with over crowding in their prisons...

who sets their freaking priorities on banning smoking with all their other problems?

Good god man...

 

[Jwrussell]

And they are one of THE most TAXED OUT THE ASS populations in the country. Go figure.

 

[tedski]

Actually Mark, the important issues here are no different than anywhere else in the country ( and aside from LA, our beaches and air quality are pretty damn good :tongueout ). One big fact is that the tobacco industry has has a bullseye painted on them for the past decade - making them an easy target for higher taxes and increased regulation.

The main problem is that we have quite a number of Hollywood multi-millionaires who see the political process as something they can use to fill their idle hours and promote "their" ideas on solving societies' woes. Maybe they all need to go see the movie "1984" a few times.

My family, friends and I will all be voting against this stupid bill in November, but I would not be surprized to see it pass.

 

[N2Advnture]

Actually Mark, the important issues here are no different than anywhere else in the country ( and aside from LA, our beaches and air quality are pretty damn good :tongueout ). ...

Ok, the beaches are great....the water sucks :rolling:

 

[CWS]

Great site for my 1,000 post.

California has gone totally mad. In CA cigar taxes are tied to cigarettes. This bomb is focus on cigarettes but cigars and cigar stores will be the victims. This proposition, which we have been watching carefully, if passed in addtion to increasing the tax on cigars by 89%, will require all the small and larger B&M to pay the new tax on all existing inventory the first of the year. The result, everyone is closing. I stopped at a store in old Sacramento that was down to a few boxes. My local guy has not ordered a new box in months and is discounting everything for cash. How do they think they will replace these tax revenues? Do they really think we are going to stop smoking cigars. This will force a bootleg, black market, internet underground similar to the days of prohibition. We all know how well that worked. There are plans everywhere to create private smoking clubs and group buying. The small businesses get hurt, tax revenue gets hurt and the anti-smoking crowd wins anotehr front.

 

[Wasch_24]

Congrats Chuck!

 

[CWS]

Ok, the beaches are great....the water sucks :rolling:

Only those by the running brown rivers adn only when it rains. Surf's up dude.:rolling:

 

[Jwrussell]

So when's the quake scheduled to crack that piece of land off of the US? :wink:

 

[smokem94]

Great site for my 1,000 post.

California has gone totally mad. In CA cigar taxes are tied to cigarettes. This bomb is focus on cigarettes but cigars and cigar stores will be the victims. This proposition, which we have been watching carefully, if passed in addtion to increasing the tax on cigars by 89%, will require all the small and larger B&M to pay the new tax on all existing inventory the first of the year. The result, everyone is closing. I stopped at a store in old Sacramento that was down to a few boxes. My local guy has not ordered a new box in months and is discounting everything for cash. How do they think they will replace these tax revenues? Do they really think we are going to stop smoking cigars. This will force a bootleg, black market, internet underground similar to the days of prohibition. We all know how well that worked. There are plans everywhere to create private smoking clubs and group buying. The small businesses get hurt, tax revenue gets hurt and the anti-smoking crowd wins anotehr front.

They are just looking out for your best interests Chuck! These people know what is good for you better than you do! Don't you know smoking is bad for you and anyone within a mile of you? Don't you know that the tobacco companies run the goverment and are solely responsible for the deaths of millions? Don't you know taxation is the best way to regulate immorality?
I for one am glad someone is looking out for my best interests as I am too fucking stupid to do so on my own!

PS....congrats on 1000!!!!!! and I had a frontal lobotomy yesterday!

 

[Wasch_24]

They are just looking out for your best interests Chuck! These people know what is good for you better than you do! Don't you know smoking is bad for you and anyone within a mile of you? Don't you know that the tobacco companies run the goverment and are solely responsible for the deaths of millions? Don't you know taxation is the best way to regulate immorality?
I for one am glad someone is looking out for my best interests as I am too fucking stupid to do so on my own!

PS....congrats on 1000!!!!!! and I had a frontal lobotomy yesterday!

:rofl: :nodlaugh:

 

[CWS]

They are just looking out for your best interests Chuck! These people know what is good for you better than you do! Don't you know smoking is bad for you and anyone within a mile of you? Don't you know that the tobacco companies run the goverment and are solely responsible for the deaths of millions? Don't you know taxation is the best way to regulate immorality?
I for one am glad someone is looking out for my best interests as I am too fucking stupid to do so on my own!

PS....congrats on 1000!!!!!! and I had a frontal lobotomy yesterday!

The sad reality is I think they really believe this. I went to a focus group gathering of small businesses and this prop was brought up as a "good thing".

After getting up of the floor I ran what I call the X product senario. You have a product called X. It's not a product that greatly benefits humanity but then we can't all print bibles. Product X is a fun product for thrill seekers and stay at homes alike. Product X is a consumable with a long shelf life and easy storage although sales and turnover can be brisk. Product X has a reasonably low production cost and a high mark up ability. Its made predominately outside the US. The parts of Product X produced in the US provide many jobs for the unskilled. Product X generates great tax revenues. We can charge a 20% surcharge tax and no one will wince.

Product X is sold by small businesses predominantly. These small businesses easily fit into enterprise zones, inter city recovery zones, historic districts, as well as mall, strip mall and stand alone locations. Product X can be sold with accessories made within and outside the US.

Sounds good. Lets vote to support it. Take the histeria out of it and cigars just make good sense.

 

[cvm4]

There tax revenue from cigars will go to zilch. People will flock to the internet to get their cigars (like they already should be doing!).

 

[CWS]

What is does is takes away small businesses. It takes away our ability to walk in and try something new because no will be able to afford to carry inventory. Sucks.

 

[caudio51]

Wow, that is just terrible.

 

[Legends of the Playground]

Reason #497 why I am never moving to California. Well, unless the Army tells us too.

 

[Rank_Tyro]

Reason #497 why I am going to be moving out of California as soon as I can.

Reason #1 is the freakin' HEAT.

More and more I look around, read the paper, watch the news and I think that this state is not going to be someplace I would want to live in 10 years from now.

 

[Jwrussell]

So I guess you won't be moving to my wonderful state, huh Rank? :wink:

 

[CWS]

Reason #497 why I am never moving to California. Well, unless the Army tells us too.

Just remember, if it can happen here, it can happen anywhere. We have to stand up and be counted. It jsut infuriates me that politicans can be so blinded by a group of whinning individuals, actors no less, that they cannot see the devestation to the small business community let alone the tax base. Stupid, stupid, stupid.:angerFU:

 

[allanf]

I voted no of course...sorry the energy thing didn't pass....but otherwise i was THRILLED with the election results overall...;-)