Cigarette Tax Proposed in Danville
Friday, March 23rd, 2012
Some smokers already think the price for a pack of cigarettes is high, but that cost may be getting worse in Danville. This week, the city manager proposed 30 cents per pack tax increase that would be included in next year’s budget. Nearly every city in the state has a cigarette tax, but Danville’s not among them. The budget there has become so tight that officials are saying this may be the only option. “It should stay at the same price it’s at because everything is so high, why go up on cigarettes too?” said smoker Belinda Fitzgarald.
The average price per pack in Danville is nearly $4, and with an additional tax proposed on top of that, some smokers aren’t happy.
“Cause they know they’re addicted to smoking, so they keep raising the price up higher and higher,” said Fitzgarald.
“Some people smoke, other people don’t. But also some people eat in restaurants, other people don’t. We have taxes on restaurants and hotel rooms, and cigarettes would fall into that category,” said Joe King, the Danville City Manager.
Income to the city is slim, and officials think it’s about time smokers start paying up.
“It’s important for cities to have sources of revenue that produce ongoing… not just one time revenue sources, but year after year,” said King.
Thirty of 39 cities in Virginia tax cigarettes, but Danville isn’t one of them. Officials say they’ve already made too many cuts to the budget. The only answer now without raising property taxes is cigarettes.
But some city council members say that’ll just invite people to spend their money elsewhere.
“It’s just like right now, we get a lot of traffic from North Carolina to buy gas, to buy cigarettes, to buy other staple products. What would keep them from just staying on that side when it comes to cigarettes?” said Buddy Rawley, Danville City Council member.
The city says they can make about $200,000 a year on the tax. This same tax proposal was denied by city council during last year’s budget talks.








