Citizens Against Government Waste backs Jindal on tobacco tax

The lobbying arm of Citizens Against Government Waste is backing Gov. Bobby Jindal’s pledge to veto a renewal of the state’s 4-cent-per-pack cigarette tax. Tom Schatz, president of the Council for Citizens Against Government Waste, wrote a letter to Jindal, urging him to uphold his veto threat against the tax renewal, which would take effect in July 2012. Schatz says tobacco taxes are regressive, having the greatest impact on the poor and elderly. “Any lawmaker who votes to override your veto will be asking Louisianans to hand over more of their hard-earned income, which is even more difficult given these rough economic times,” he says. Schatz also says that recent history shows higher cigarette taxes often don’t generate the expected revenue, since smokers cut back or buy from lower-taxed venues. Federal and state governments hiked cigarette taxes 57 times from 2003 to 2007; revenue targets were hit or exceeded 16 times. “The 4-cent tobacco tax increase was meant to be temporary, and its expiration date has arrived,” Schatz says. Jindal has promised to veto the tax renewal; a House and Senate vote to override his veto is projected to be close.