War For Tobacco Wampum

The city is d-e-s-p-e-r-a-t-e for money, so what’s a mayor to do? Declare WAR on honest tobacco-selling Indians, that’s what! Mayor Bloomberg is suing eight Long Island smoke shops on the Poospatuck Reservation in Mastic, Long Island for selling cigarettes (about $5 per pack) without charging local and state tax. He contends that if cigarettes weren't sold in these stores, they’d be bought in New York City instead. He believes this has cost the state $525 million and the city $195 million since 2004 however estimates vary. He’s called upon Governor Paterson for action. The governor is reportedly “negotiating.” An Indian spokesman believes they’re being unfairly blamed for the fiscal problems of others. That may be true. According to New York state law, cigarette buyers are responsible for reporting tax-free purchases, not the stores. Indian smoke shops operate legally throughout New York. These establishments buy cigarettes wholesale and then sell them without tax. All legal. No “smoke and mirrors.” Without a change in state law and unless NYC can somehow prove that cigarette buyers would purchase packs in the five boroughs and not on the reservation, Mayor Bloomberg’s case will likely go "up in smoke." One other thought. Since Mayor Bloomberg is actively engaged in reducing smoking in New York City, shouldn't he be looking to curtail sales as opposed to making money from them?

Sharpen The Budget Scissors

Tough economic times demand hard economic decisions. Mayor Bloomberg is sharpening the blades now. He’s ordered $1.5 billion in city-agency cuts. That breaks down to 2.5% this year and 5% next year. He spoke of reducing expenses and raising revenues. Advocates for the city’s largest departments will undoubtedly be heard from very soon. Each will complain that slashed budgets were unfairly decided and will unfairly hurt New York. We know better. All city agencies waste millions of our tax dollars. All city agencies must undergo severe budget cutting ... just like the rest of us. New Yorkers will suffer to an extent, but we’ll survive. We’ve been through worse before. Besides, smaller government doing the same amount of work, or ideally more work, seems like a pretty good idea … except to those who squander our money and must work for it.

The Taxman Means Business

Either overdue sales taxes will be collected or business owners theselves may be collected … for prison. Local pizzeria owners, used-car dealers and other city business owners dealing primarily in cash, "be on the alert." You’ll soon feel the heat of the taxman and a new force of 125 investigators, auditors and lawyers. It's all part of the state’s new Special Investigation Unit. 10,000 warning letters have been sent requesting money owed. Many small business owners believe these are merely “scare tactics.” They shouldn’t be so sure. Delinquent business taxpayers will no longer be tolerated by New York State. The letters offer a second chance to meet their responsibilities. Penalties will be waived for those who come clean now. All New Yorker's must pay taxes. Business owners hiding currency in their books or at home "under the mattress" risk seeing an “Under New Management” sign in their windows.

Empty Your Pockets For The Politicians

Both Governor Paterson and Mayor Bloomberg recently warned that tax increases may be necessary to close anticipated deficits. In today’s current economic situation, New York City residents are likely to face state and city tax increases in the very near future. Once again, unwise and wasteful spending brings us to the precipice. New York State and City governments should have mandatory special savings accounts to tide them (and us) over during tough economic times. You know. The kind of savings accounts that New Yorkers will be forced to dip into when the taxman comes knocking.

TKTS Booth To Raise Curtain

Shakespeare wrote that, “All the world’s a stage and all of us, merely players.” Well, New York City taxpayers were bit players in the production of the new $19 million TKTS Booth in Manhattan’s Times Square. This state-of-the-art and visually spectacular booth will sell discount Broadway and off-Broadway tickets like the old booth did. Not unexpectedly for public projects in NYC, this facility is 18 months late and $11.4 million over budget. "Unforeseen" business hardships and "poor" project management by the Times Square Alliance are to blame. The group’s Board of Directors however places the blame with its president, Tim Tompkins. The play and the way we’re constantly played, goes on.

Cigarette Sales Going Up In Smoke

In June, New York State's tax on a pack of cigarettes went from $1.50 to $2.75. Since then, more and more New Yorkers are calling 311 for help to quit; three times as many as before. More are requesting free nicotine patches, too. At up to $10.00 per pack, $300.00 per month for a pack-a-day habit, a tipping point may have been reached. In 2007, only 16.9% of New Yorkers smoked. Smoking is certainly very different socially and economically compared to when Bogie lit up. Though there’s something inherently wrong with government imposing taxes to control any type of personal behavior, it seems to be a good thing here. If the day ever comes when smokers drop below 10% of our population for example, where will the government make up the lost revenue and impose a new tax "to do us good?" Perhaps on all super-sized food orders?

Energy Consumption Tax Too Taxing

Mayor Bloomberg thinks the best way to reduce energy consumption is to raise taxes. It’s sad for us how most politicians believe that "higher taxes solve problems." He doesn’t see any short-term fixes for the high price of oil. The fix he does see though is a breathtaking rise in energy taxes to discourage our energy usage. It’s true that much higher prices at the pump will force some motorists to curtail unnecessary driving. However a higher price for gas will also punish those who must drive for employment. It will unfairly raise costs for those who don’t even own cars (Sounds like "Taxation without transportation!). These poor souls will pay more for many retail goods and services that use or depend on vehicle deliveries. What’s needed now are innovative ideas … not old ones like higher gas taxes, tolls or mass transit fares. Improving and expanding mass transit services to accommodate more riders, reducing the size of city-owned vehicles to burn less gas (Let the politicians and police squeeze into Austin Coopers like we're being forced to!), maybe even issuing tax breaks to vehicle owners who drive more efficient cars; these are just a few examples. Give residents of New York City better transportation options instead of sticking the City's hand deeper into our pocket.

Smokers Closer To Pack-ing It In

New York cigarette smokers now pay the highest cigarette taxes in the country. State excise taxes were just raised to $2.75. Coupled with $1.50 a pack for city excise taxes; cigarettes are taxing more than just your breathing! Cigarettes now sell locally for $8.50 to $12.00 … per pack! Not surprisingly, retailers are getting cigarette-burned with complaints from anxious customers. With a tightening economy, the choice between cigarettes in the pocket and food in the belly may be no choice at all. Nicotine addicts may soon have to settle for a compromise solution and take to chewing tobacco to satisfy their cravings and hunger. Hey, puffers! Isn't it time to quit smoking for good?