South Carolina Cigarette Tax May Mean Less Money From Out-of-state Smokers. | DiscountCigarettesMall.Com Tobacco News

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South Carolina Cigarette Tax May Mean Less Money From Out-of-state Smokers.

The impact of South Carolina’s 50-cent-per-pack cigarette tax increase may reach far beyond the state’s borders. The tax went into effect Thursday, marking the first change to South Carolina’s cigarette tax since 1977.

The state previously had the lowest cigarette tax in the country for many years at just 7 cents per pack.

The low tax was a draw for many North Carolinians living close to the South Carolina state line. Now the Tar Heel State, not the Palmetto State, has a lower cigarette tax.

While South Carolina’s tax of 57 cents per pack still ranks 42nd nationally, it is higher than North Carolina’s tax of 45 cents per pack and of neighboring Georgia’s tax at 37 cents per pack.

Many North Carolina residents said that could mean North Carolina smokers will spend more money in their home state.

“It’s probably gonna reverse. I think people are probably gonna come to the border to get discount cigarettes from North Carolina,” said North Carolina resident Kenya Johnson.

North Carolina resident Steve Rozier agreed.

“I guess that will change. There probably won’t be so many traveling to South Carolina to buy cigarettes anymore,” he said.

While the loss of potential out-of-state revenue may not be good for South Carolina, many North Carolina residents said keeping money in their state will benefit their economy.

“I think it’s great because we all need a boost here in North Carolina in reference to our own economy, so that means more people will be staying within our own boundaries in reference to buying cigarettes,” North Carolina resident Sandy Mallory said.

While many in the Carolinas said they feel the increased tax will put a damper on the amount of cigarettes purchased, some said it’s smokers who will pay the extra price, regardless of which state they choose to frequent.

“I guess they’re just trying to push it a little more so people will start quitting,” North Carolina resident Shantell Duarte said. “I don’t know if anybody’s gonna want to pay 50 cents more for a pack of cigarettes, but if they really want to smoke that bad, they will.”

South Carolina revenue officials said the increased cigarette tax is expected to generate $125 million over the next year, and the money will go toward health care programs in the state.

Of the money the higher cigarette tax is expected to generate in South Carolina, $5 million will go toward smoking cessation programs and another $5 million will go to the Medical University of South Carolina Hollings Cancer Center. The remainder generated from the tax will go toward South Carolina Medicaid costs.

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