Smoking, it'll kill you (even you, casual smoker). But before that it will bring in beaucoup bucks for the government thanks to hefty taxes—or will it? Pols keep raising and adding taxes on smokes here for the dual purpose of making money and pricing people out of their favorite addiction. Its worked pretty swell for a while now, but it seems that those days are ending. State tax collectors were "recently calling around to convenience-store owners, wondering what was up. The $130 million in extra tax that Albany was expecting from a change in the law about cigarette sales on Indian reservations wasn’t happening."
Cigarette Tax Revenues Just Ain't What They Used To Be
How Tax-Free Smoke Gets From Reservation to Your Lungs
On Monday Mayor Bloomberg announced a lawsuit against the Poospatuck Indian reservation on Long Island, in an attempt to stop the untaxed sale of 11.3 million cartons of cigarettes on the reservation per year. Today the Times has a great, long article about how the smokes travel from the wholesaler through the reservation and to the streets of New York, where "$5 Men" like "Paco" stand on corners and whisper, "Newports. Loosies. Shorts. Longs." Reporters at the reservation describe a booming business, where cigarette sales are made on a bustling main street and even out of residential trailers. One reporter saw a sign for Justin’s Smokes "on a tree outside a residential trailer. An occupant of the trailer ordered the reporter off the property, telling her it was not a cigarette shop. 'That’s just a sign on a tree,' the woman yelled."

