Why do people say governments tax tobacco to make money? Don't sick smokers cost the government more than they

Question

get from taxes?

Answer 1

Smokers cost the system way more than what the taxes would cover, even if the taxes justwent to comver smoker's illnesses. Insurance premiums, lost work days, then the cost to the health of the non smokers they are around.

I would imaging the surguries, hospitalizations and medication my mother has amassed from smoking would be greater than a million dollars. And she is just one of millions sick\dying from smoking related illnesses. It does cost society more than it brings in.

Answer 2

This is an interesting concept. It really illustrates how ignorant decisions can occur in government. You see in this case the egg came before the chicken.

When tobacco sales skyrocketed in the 60's the only solution the government could think of to control the substance was to add a tax. Instead of banning it and making it illegal because it would generate future burdens like out-of-control healthcare costs they thought short-term (as usual).

So in an effort to manage the health-care costs today they had to do a few things. Increase the taxes on tobacco, ban advertisement campaigns that relate to smoking (and drinking), implement health campaigns to encourage people to quit or not start smoking and increase the health care insurance premiums to the general (non-smoking) public.

In around about way, you can see what will eventually happen. People will be forced to pay more for cigarettes which will cause them to switch to other substances (marijuana) because the price comparison will allow it, pay more for health care, which will cause them to have to strain their bodies to keep up to the cost of living by working more. Round and round we go, there is no end in sight for the health care problems.

In the end, the cigarette companies will be forced out of business by the government, people will die due to the lack of health care and the government will collapse because they will have no tax revenue sources left.

What should they have done?

Answer 3

The government makes more money from tobacco taxes than it pays for sick smokers, and when smokers die young the don't collect social security. The government loves smoking.

Answer 4

There is a tax imposed on cigarettes and chewing tobacco above and beyond the sales tax. This is to help cover the burden on the economy of smokers such as higher health care costs, weakened labor, etc.

Answer 5

Does it matter either way? I'm going to, for the sake of argument, assume that this information is correct.

If they stop taxing cigarettes, is the cost of health related issues connected to smoking going to go down? No. So the gap will be even wider between how much they bring in and how much they spend.

Matt

Answer 6

Its like any good business, if you take in more than you put out, you make a profit. Smokers die early and save all that social security money. Its big bucks.

Answer 7

Why can't they tax all crutches the same,like booze,drugs.Because all the government slugs drink regularly.Alcohol destroys,more families and innocent people in the world,then any other addiction.

Answer 8

Not here. UK taxes on tobacco hover around 40%. Every time I light up, I'm contributing to the NHS.

Answer 9

Nope. In the UK somking tax brings in 7 billion minimum a year, smoking related diseases cost 1.5 billion. Lots of cash left over for weapons and civil service pensions....

Answer 10

Before I can answer your question, I need to ask you one myself:

Why are you asking this in the Religion & Spirituality Section of Y/A?

Is your God a smoker?