Illegal sales worry California cigarette tax foes

The Oakland Tribune reports:

Two dueling groups combined their proposed ballot measures Tuesday into one that would slap a $2.60 tax on a $4 pack of cigarettes to aid health care — but officials said the 300 percent tax hike also would turn California into a gold mine for terrorists.

The California Hospital Association and anti-smoking groups, eyeing the November ballot, said the good far outweighs cigarette-smuggling concerns. It would provide nearly $2.3 billion annually for emergency rooms, children's health insurance and nursing education.

But in an acknowledgment of the cigarette-smuggling problem, the measure would also set aside $20 million a year for law enforcement efforts.

Federal and state officials already are waging an uphill battle against cigarette smuggling fromlow-tax states to high-tax states, where the cigarettes are sold at a discount.

Many of the illegal operations are now tied to terrorism.

Looking who's calling for higher taxes.No altruism here.