THE GOVERNOR’S PLAN FOR REVAMPING THE STATE’S MEDICAID SYSTEM INCLUDES RAISING THE STATE TAX ON CIGARETTES.
THE CURRENT TAX ON A PACK OF SMOKES IS 98 CENTS...BUT GOVERNOR QUINN WANTS TO RAISE THAT BY ONE DOLLAR. HE SAYS THIS WILL BENEFIT THE STATE IN SEVERAL WAYS.
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THE IDEA IS TO RAISE MONEY…AND LOWER TOBACCO RELATED MEDICAID EXPENSES.
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IT’S ESTIMATED THE TAX INCREASE WOULD GENERATE ABOUT 337 MILLION DOLLARS…AND MAKE ILLINOIS ELIGIBLE FOR ABOUT THE SAME AMOUNT IN FEDERAL MONEY. THE TAX INCREASE WILL HAVE TO BE APPROVED BY THE LEGISLATURE.