Tobacco users will see big tax hit soon: Federal increases to hurt business, retailers worry

The News Journal reports:

Big new federal taxes on tobacco products have local store owners concerned about the impact on their businesses.

Starting April 1, large cigars will be taxed at 40 cents apiece, up from 5 cents. Federal cigarette taxes will increase from 39 cents per pack to $1.01. And the tax on roll-your-own tobacco will jump from $1.10 per pound to $24.78.

We doubt many state governments understand that the revenues they are planning on(in the long run) aren't going to be there with higher taxes.