We knew this day was coming. The fact that pipe tobacco is being taxed at such a drastically lower rate than RYO tobacco has led many RYO producers to relabel their goods as pipe tobacco. Well the taxman isn't stupid so now they're coming after pipe tobacco in an attempt to close this loophole.
So what will this mean for you the pipe smoker? Well for starters federal taxes on a pound of pipe tobacco will jump an astonishing 775% from $2.83 to $24.78. But beyond the drastic price increase looms an even more disturbing eventuality -- the disappearance of many small tobacco producers and the loss of countless beloved blends. Very few folks are getting rich in the pipe tobacco game and the increased up-front costs associated with a new tax will put a good number of small companies out of business.
The folks over at Pipes Magazine have put together a great page full of information on how to fight this impending legislation. I encourage everyone to make use of this link and act now to protect the pipe smoking way of life in this country.
No comments:
Post a Comment