Government
Here's How Often New Yorkers Pay Full Price For Illegal Cigarettes
A study finds that 15 percent of packs sold over the counter bear illegal tax stamps. Even for nonsmokers, that’s a lot of dollars lost.
When you think of New York City’s illegal cigarette market, maybe you picture someone selling loosies to customers in the know. Or maybe it’s a regular coming into the corner store, asking for “specials.” Often smuggled in from out of state, untaxed smokes generally sell well below the city’s minimum price of $10.50 per pack, which includes a steep $1.50 excise tax.
But as the city continues to raise prices on tobacco, illegal sales are becoming more mainstream—and the discounts aren’t always getting passed on to consumers. A study published Thursday inTobacco Control reveals that, from a sample of shops across the city, about 15 percent of cigarettes sold over the counter at full price had illegal tax stamps.