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Raising New Jersey's cigarette tax by $1 would bring in $80M in new annual revenue

Published on February 11, 2010 at 3:01 AM · No Comments

National Poll Finds Voters Prefer Tobacco Tax to Other Tax Increases, Budget Cuts

Raising New Jersey's cigarette tax by $1 per pack would bring in $80 million in new annual revenue to help close the state's budget shortfall, while also reducing smoking and saving lives, according to a national report released today by a coalition of public health organizations.

The report comes as states grapple with unprecedented budget shortfalls and face devastating cuts to education, health care and other essential public services.  The report details the revenue and health benefits to each state of a $1 cigarette tax increase.

In New Jersey, a $1 cigarette tax increase would also:

  • Prevent 48,000 kids from becoming smokers;
  • Spur 21,800 current adult smokers to quit;
  • Save 21,100 residents from premature, smoking-caused deaths; and
  • Save $1.0 billion in health care costs.

A nationwide poll released along with the report found that 67 percent of voters support a $1 tobacco tax increase, with backing from large majorities of Republicans (68 percent), Democrats (70 percent) and Independents (64 percent).  

The poll found that voters far prefer raising the state tobacco tax to other options for addressing state budget deficits.  While 60 percent favored increasing the tobacco tax for this purpose, more than 70 percent opposed every other option presented, including higher state income, gasoline and sales taxes and cuts to education, health care, transportation and law enforcement programs.

"This report shows that raising tobacco taxes is truly a win-win-win for New Jersey.  It is a budget win that will help protect vital programs like health care and education, a health win that will prevent kids from smoking and save lives, and a political win with the voters," said Matthew L. Myers, President of the Campaign for Tobacco-Free Kids.

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