LGC 11.40 — No Unjust Taxation Act — PASSED

[ZMUN M441]

No Unjust Taxation Act

to eliminate or lower unfair taxation on products

Section I: Sales Tax

1. LGC 10.30: Comprehensive Sales Tax Act is hereby repealed in its entirety.
2. L.C. 6.18: Ishan’s Nicotine Tax Act will remain repealed.
3. L 10.25.4: Soft Drug Legalization and Taxation Act will remain repealed.

Section II: Lower Vice Tax

1. An excise tax is imposed and assessed upon the sale of the following products at the corresponding rate.

a. Tobacco and Nicotine Substances: 15%
b. Alcohol: 10%
c. Cannabis: 10%
d. Other Non-Medicinal or Recreational Drugs: 10%

Section III: Tax Cap

1. To avoid over-taxation on the products outlined in Section II-1a through II-1d, the above tax rates will be complementary with the federal budget, thus creating a tax cap that -
a. if federal tax rates are higher than the Lincoln tax rate, the Lincoln rate shall not be applied.
b. if federal tax rates are enacted, repealed, or adjusted, the Lincoln rate shall be adjusted accordingly.

Section IV: Implementation

1. This act takes effect immediately upon signing by the Governor.

Occupying: Slot 10 of 10
Sponsor: Pyro

[Mr. Reactionary]

Current federal tax rates are:

Beer, wine, hard cider, and distilled spirits - $15 per proof gallon
Cigarettes and small cigars - $55 per 1,000 ($1.10 per pack)
Large cigars - 50¢ per cigar
Cocaine legally produced - $10 per gram
marijuana - $10 per dry-weight ounce

[Pyro]

Thank you, Speaker ZMUN.

This legislation eliminates the regional flat sales tax. According to the most recent Lincoln Budget, we are presently running a generous surplus. This budget was created before the institution of a general sales tax in the 10th LGC. As such, this new tax not only puts an undue financial burden on working families, but it is verifiably not necessary for the fiscal health of this region. In this bill, I propose repealing it entirely, and more so lowering the so-called "vice" tax on products like alcohol and cannabis. The tax cap from LGC 10.30 is retained in a modified form.

[Sirius_]

How much revenue exactly comes from the sales tax? I can't seem to find it in the budget.

[Pyro]

How much revenue exactly comes from the sales tax? I can't seem to find it in the budget.

It was not calculated since the budget passed prior to the sales tax law.

[ZMUN M441]

Motioning for a final vote.

[ZMUN M441]

A final vote on this bill has been initiated.


Aye

[Vice President Christian Man]

Nay

[Pyro]

Aye

[nerd73]

Aye

[ZMUN M441]

LGC 11.40 passes, 3-1, with one Deputy failing to vote.

[Former President tack50]

X tack50

[LAKISYLVANIA]

Why is tobacco taxed higher than cannabis?

[Pyro]

Why is tobacco taxed higher than cannabis?

Tobacco is a carcinogen.

[LAKISYLVANIA]

Why is tobacco taxed higher than cannabis?

Tobacco is a carcinogen.

Cannabis and alcohol are not healthier than tobacco.

I'm a big cannabis advocate, but this is ridicilous.

It's essentially promoting people who smoke cigarettes to smoke pure blunts.

It's a very misjudged act that only got passed because people hold personal grudges to each other. I don't consider that good lawmaking.

[Vice President Christian Man]

Why is tobacco taxed higher than cannabis?

Tobacco is a carcinogen.

Cannabis and alcohol are not healthier than tobacco.

I'm a big cannabis advocate, but this is ridicilous.

It's essentially promoting people who smoke cigarettes to smoke pure blunts.

It's a very misjudged act that only got passed because people hold personal grudges to each other. I don't consider that good lawmaking.

It's true that the link between smoking marijuana and lung cancer has not been proven, but the link with tobacco has. I had my own objections to the law but I think that tobacco should be taxed higher, at least compared to cannabis. Alcohol and tobacco have close to 0 health benefits, but at least there has been some conflicting data on whether CBD products have health benefits.