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New tobacco tax hike for 2012

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FmGrowit

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I got the scoop today...the tax on "pipe" tobacco (RYO cigarette tobacco) is going up at the end of next month, maybe sooner. The exact amount isn't clear, but it's going to be similar to the tax on properly labeled RYO cigarette tobacco.

This really isn't a new tax. The intent of the existing tax was meant to include this tobacco, but the wording of the law created a loop-hole.

http://www.govtrack.us/congress/bills/112/s3081/text
 

Jitterbugdude

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Thanks for the info Don. I guess we might expect to see a flood of pipe smokers signing up soon looking to grow their own? We'll probably see more ciggie smokers too since a lot of them have been buying pipe tobacco and using it for cigs.
 

leverhead

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I got the scoop today...the tax on "pipe" tobacco (RYO cigarette tobacco) is going up at the end of next month, maybe sooner. The exact amount isn't clear, but it's going to be similar to the tax on properly labeled RYO cigarette tobacco.

This really isn't a new tax. The intent of the existing tax was meant to include this tobacco, but the wording of the law created a loop-hole.

http://www.govtrack.us/congress/bills/112/s3081/text

I hope you're well stocked!
 

BarG

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That could easily be $25.00 a lb. @1 1/2- 2 yrs. ago ryo cig. was around give or take $ 40.00 a lb. while pipe tobacco was $12-15.00.
 

DrBob

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the schip tax is the reason I started growing tobacco. Now they will extend it to pipe tobacco... I am not surprised.. Oh well, Been smoking my own homegrown tobacco for quite a while.
 

FmGrowit

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Just got the scoop...

"They" (and we all know who "they" is) could not come to an agreement as to how or when to impose the cigarette tax on "pipe" tobacco, so pipe tobacco has received a respite. God only knows for how long, but I'd very strongly advise against starting your own pipe tobacco company.

What the committee of theys did conclude is the cigarette machines that make cigarettes in the tobacco shops are illegal. Looks like there's gonna be a run on injectors.

Typically, "they " will have an economical impact study done to see how bad people will get hurt by implementing a new law like this, but I don't think the feds offered a grace period when Prohibitions was signed into law. There will be a grace period for retail shops to clear inventory, but I don't have any idea if the manufacturer will be offered the same courtesy.
 

BarG

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Just got the scoop...

"They" (and we all know who "they" is) could not come to an agreement as to how or when to impose the cigarette tax on "pipe" tobacco, so pipe tobacco has received a respite. God only knows for how long, but I'd very strongly advise against starting your own pipe tobacco company.

What the committee of theys did conclude is the cigarette machines that make cigarettes in the tobacco shops are illegal. Looks like there's gonna be a run on injectors.

Typically, "they " will have an economical impact study done to see how bad people will get hurt by implementing a new law like this, but I don't think the feds offered a grace period when Prohibitions was signed into law. There will be a grace period for retail shops to clear inventory, but I don't have any idea if the manufacturer will be offered the same courtesy.

While searching shredders Don I ran into some pretty intriguing, investment opportunities for roll your own equipment. and storefronts. Anyone got 30+ grand to get started, so you can get shot down? People who have invested in this are sweating bullets right now. There is some realy fine small scale ryo cigs. machines out there in the commercial market. I haven't seen in operation , but for the price and sales they must work.
 
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