Chicago Cigarette Tax Hidden Consequences
Posted: Thursday, April 20, 2006
by Paul Basci
Wholesale American Smokes
Smoking just got more expensive for cigarette buyers’ in Chicago, Illinois. A cigarette tax increase of $1 per pack took effect in Cook County in March. A single package of cigarettes in the Chicago area is just under $5 in cigarette taxes alone. Add the actual cost of cigarettes to that hefty tax and you have a serious drain on the average smoker’s budget. However, many smokers have decided to travel out of Cook County to buy their cigarettes or are simply ordering their cigarettes online through various internet cigarette sellers. Some Indiana tobacco stores have seen a big increase in out-of-town business and owners of online cigarette stores are also seeing increased sales to clients in Chicago. Counties surrounding Cook County have also seen an increase in business and some have even hired additional staff to handle the increase in traffic.
The Cook County tax on cigarettes took effect in March, meaning a pack of cigarettes costs $10 more for every carton purchased. Smokers who are now forced to pay $7 for a pack of cigarettes in Chicago are simply driving out of the county or ordering their cigarettes from internet cigarette stores which sell cigarettes much cheaper.
While local government officials claim the tax reduces smoking, some say the tax is unfairly targeting a population that cannot afford it and simply forces smokers to purchase cigarettes online or drive outside of Cook County to purchase cigarettes. Those not interested in kicking the habit are trying to find creative ways to keep from paying extra taxes they feel are unfair to begin with. “I just buy my cigarettes online now" says Joel Sanchez. Others who live in the Suburbs are making the extra drive to surrounding counties and buying cigarettes.
It remains to be seen if the increase in taxes in Cook County will result in the higher tax collections and reduced smoking the County expects or if it will simply drive smokers to alternative areas to shop or over the internet, both of which mean the new tax increase equates to no tax at all collected by Cook County.
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Top-level comments on this article: (1 total)Thanks for the link to the wholesale American smokes company. Ordered some Marlboro's and got a great deal. Prices for smokes in Chicago is crazy now. Can't afford gas AND cigarettes so now ordering online. Thanks again.
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