We will never forget the ones we lost 14 years ago and we honor the bravery of those who worked to save others. @CustomsBorder
Archives For New York
Rampant cigarette smuggling isn’t the problem in New York–“sky-high” tobacco taxes are, according to an op-ed by Patrick M. Gleason, director of state affairs at Americans for Tax Reform, in The Wall Street Journal.
Gleason’s opinion piece, titled “A Laffer Curve for Smokes,” digested here, takes the city and state of New York to task for their $180-million lawsuit against UPS over what officials allege was unlawful delivery of nearly 700,000 cartons of cigarettes. (A Laffer curve, named for economist Arthur Laffer, shows the relationship between rates of taxation and levels of government revenue.)
“This misguided lawsuit demonstrates once again that too many in government do not understand the root cause of cigarette smuggling. New York state levies the highest cigarette tax in the nation, $4.35 per pack, and New York City tacks on an additional $1.50 local tax. All told, the cost of one pack there can run to $12 or more.
“The result? Most of the cigarettes smoked in New York, 58%, are smuggled in from out of state, according to the nonpartisan Tax Foundation. The higher that revenue-hungry politicians raise tobacco taxes, the more profit smugglers can make.
“Politicians never learn. Of the 32 state tobacco tax increases that went into effect between 2009 and 2013, only three met or exceeded revenue projections, according to industry data.
“Lawmakers can claim they’re raising taxes on cigarettes to reduce smoking and improve public health. That talking point is belied by the recent imposition of taxes on electronic cigarettes, which are saving lives by delivering nicotine in puffs of water vapor instead of chemical-filled smoke. There are more than 15 tax bills pending across the country for currently untaxed e-cigarettes. Hawaii is proposing a tax of 80%, New York of 75%, Oregon of 65% and Ohio of 60%.
“For politicians, cigarette taxes are—and have always been—about one thing: money.
“New York state officials claim that the cigarette smuggling via UPS cost the treasury $29.7 million in lost tax revenue. That’s less than 0.03% of the state budget. The $4.7 million allegedly lost by New York City represents less than 0.006% of its budget.
“For a mere rounding error, state and city officials want to grab $180 million from UPS. That’s $180 million UPS could use to hire new workers, give employees raises, or invest back into its business. The leaders of New York and New York City should drop this silly lawsuit and find a more productive use of their time.”
Click here to view the full Wall Street Journal opinion piece.
U.S. Customs and Border Protection’s maritime mission is now back on-line with today’s processing of cargo vessels and containers. “In the aftermath of Hurricane Sandy the people of New York and New Jersey have faced great adversity, the men and women of CBP have been with them each step of the way,” said Robert E. Perez, CBP’s Lead Field Coordinator for CBP in FEMA Region II. “Today’s processing of cargo ships into the Port of New York/Newark marks the next step in CBP restoring its maritime operations here in the greater New York City area and returning to business as usual.”
CBP personnel are on site today processing 161 expected international flights with approximately 31,500 passengers at JFK and 92 expected international flights with approximately 14,500 passengers at Newark International Airport.
To facilitate the flow of goods into the New York area, CBP officers conducted cargo container inspections this morning at the Port of New York/Newark for the first time since Hurricane Sandy battered the New York/New Jersey area. CBP import and entry specialists were back to work as soon as their facility opened last week, processing merchandise to help facilitate the flow of much needed supplies and supporting the United States economy.
CBP worked very closely with the U. S. Coast Guard and the NY/NJ Port Authority to lift waterway restrictions and open marine terminals to cargo vessels. Officers were on site and ready to process shipments as soon as cargo was off loaded. CBP deployed officers to JFK and Newark Liberty International Airport from other parts of the country to assist with the processing of international passengers. Source: FEMA