Sunday, Illinois increased its cigarette sales tax to $1.98. It's meant to bring in money to the struggling Illinois government. It had been .98 People who sell cigarettes said their patrons are the ones who will feel it the most. News 10 talked to Calista Davidson In Marshall, Illinois. She runs Moe's Package Liquors. A small portion of her profit comes from cigarette sales. So when she heard about the increase, she had to pay attention to what her customers were saying. "No one was happy, obviously, no one wants to spend more, but most people that I talked to said well this would be a great time to quit, " Davidson said.
It's part of Governor Pat Quinn's plan to cut more than $2.7 billion from the state budget. Experts believe the tax increase alone will bring $350 million in revenue. Davidson agrees the state could use the money, but she doesn't know if the tax will help in the long run. That's because she believes it will drive business to Indiana. "You want everyone to support your home state and support your home town, but when it boils down to money, you're going to, go where you can get the best deal," Davidson said. Illinois legislators hope the tax increase will bring in millions in health grants to the state as well.
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