One of my favorite things to post about at taxgirl.com are tax policy issues. I am particularly struck by sin taxes and revenue raisers based on what “the norm” (whatever that is) might consider to be immoral behavior. This includes taxes like the crack tax, the pimp tax and the stripper tax (note to readers: boy, I hope this doesn’t get me banned again).
It’s all about taking the moral high ground, right?
That’s why I was surprised to hear that one of the line items for ex-New York Governor Eliot Spitzer’s 2008-2009 budget was a crack tax. The law would have required drug dealers to purchase tax stamps for dealing marijuana, cocaine, and heroin as proof that taxes on the drugs had been paid.
Sound a little bit crazy? Maybe not. Other states have tried similar approaches over the years with varying degrees of success. The idea is not so much to raise revenue as it is to give government officials yet another weapon in their prosecution arsenal against drug dealers.
It is notable that there was no mention of a pimp tax or prostitute related tax. Perhaps the governor was thinking ahead…
(Hat Tip: Village Voice)
