The Nation : Senate Votes Cigarette Tax
The Senate voted tentatively to make permanent the 16-cent-a-pack federal tax on cigarettes, rejecting on a technicality an effort to boost the levy to 24 cents. On a 66-30 vote, the Senate showed its support for a Finance Committee proposal to retain the present 16-cent tax, impose new taxes on snuff and chewing tobacco, and inaugurate a new program of price supports for tobacco farmers. The vote was the first taken on a package of spending cuts and revenue increases designed to reduce the federal budget deficit by $85.6 billion over the next three years. White House aides say they will recommend that President Reagan veto the bill because of the cigarette tax, which amounts to a tax increase, and several other provisions.
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