Get all your news in one place.
100's of premium titles.
One app.
Start reading
Reason
Reason
J.D. Tuccille

Cigarette Taxes Push Smokers to Black Markets, Costing States Billions in Lost Revenue

In May of this year, Customs and Border Protection (CBP) officers seized 150,000 cigarettes from two women disembarking a cruise ship in Los Angeles. The women had 10 pieces of luggage filled with smokes they'd apparently purchased in Mexico for which they had no import paperwork. Why would anybody try to bring over 700 cartons of cigarettes back from a Pacific cruise? Because the haul was worth an estimated $60,000, and the two would have had no problem selling their cargo to smokers desperate to beat California's high taxes. Those stiff levies drive buyers and money to the black market.

High Taxes Invite Smuggling

Sign up to read this article
Read news from 100's of titles, curated specifically for you.
Already a member? Sign in here
Related Stories
Top stories on inkl right now
One subscription that gives you access to news from hundreds of sites
Already a member? Sign in here
Our Picks
Fourteen days free
Download the app
One app. One membership.
100+ trusted global sources.