With all of the smoking bans being enacted, I was just wondering how much money the federal government rakes in from smokers each year. State taxes vary, so that would seem pretty complicated to figure. If every smoker quit today, how would the government make up for the lost money?
The government will do what they always do. Jack up the tax on beer, gasoline etc …
Federal Excise Taxes on Alcohol and Tobacco, 1993-1999 chart.
Provisional figure for 1999, for tobacco products: $5,365,980,000.
How much does the federal government pay for smoking related costs (e.g. medical expenses, premature deaths, fires and other accidents)? If not the federal government, how much does smoking related costs take out of the economy vs. how much is generated by tobacco production/consumption/taxation?
Some of your answers may be here on this CDC page on smoking costs, gjbq8. Again, stats only up to 1999.
From the link.
It would seem this would add up to pretty large savings for social security. Plus if non-smokers live longer, but will eventually die of something that requires hospitalization then I don’t see how these cost estimates make sense.