Earlier this year, RJ Reynolds promoted a small but punitive sin tax on e-cigarettes in North Carolina that was passed quickly and over the objection of consumers. It appears we have a similar situation brewing in Michigan where our information is that RJ Reynolds and Altria are brokering deals between themselves and then quietly lobbying legislators to get the tax passed.
The large tobacco companies accept the concept of sin taxes and don’t have much of a problem agreeing to them or even actively lobbying for them. Of course, they don’t actually pay the taxes . . . we, the consumers do. Moreover, the tax structure they push favors the cigalikes they produce and imposes a heavier burden on sales of refill liquid, a product the tobacco companies don’t sell.