Why Are Airfare Taxes So Costly?
Just a quick glance at the number of taxes imposed by the government when purchasing a ticket makes it quite clear that there is a lot of taxing going on. Here is the average list of taxes to expect:
Flight segment
Frequent-flier
Cargo waybill
Commercial jet fuel
9/11 fee
Passenger ticket
It’s these and other taxes that make your flight, originally priced at $150, jump to $180. And of course, these costs don’t include the new fees many airlines charge for checking bags or changing your tickets.
When Fortune writer, Becky Quick, asked the heads of Continental Airlines and Delta Air Lines about the taxes, neither could provide a reason for the hikes. In fact, Gordon Bethune of Continental said the airline has been complaining about them for years.
His belief is that airlines are an easy target for the government to add taxes, since it can say it will use the large sums of money to better the airline industry. But the money that he says should be used for air traffic control has not revealed itself in the industry’s outdated systems and processes.
понедельник, 28 февраля 2011 г.
Four people arrested, guns seized in crackdown on sale of counterfeit cigarettes
A crackdown on the sale of counterfeit cigarettes has led to the arrest of four people, the seizure of about 500 cartons of fake brand cigarettes and three guns, Los Angeles County sheriff’s officials said.
Detectives made the bust after serving search warrants Wednesday at two locations in the 400 block of Broadway in downtown Los Angeles, authorities said. Investigators warned that some of the cigarettes contain materials not usually found in tobacco products.
About 450 cartons of counterfeit tobacco with an estimated street value of about $25,000 and 53 cartons of duty-free tobacco with a value of about $3,000 were seized, authorities said.
The suspects sold the packs of counterfeit cigarettes on the street by walking up to people and asking whether they wanted to get a good price on packs or cartons, authorities said.
The two search warrants also resulted in three handguns being recovered, one of which had been reported stolen in a burglary in West Covina in March of 2010.
The four suspects arrested were identified as Johnny Morales, 20; Elena Bautista, 39; Benjamin Leal, 58; and Jose Garcia, 59. Their bail was set at $20,000 each, authorities said. Morales is an admitted gang member who is currently out on parole.
"We hope to increase global awareness of the negative impact of organized intellectual property crimes," said Los Angeles County Sheriff Lee Baca in a statement. "Counterfeiting and piracy impact public safety by funding organized crime, street gangs, and even terrorism through the sales of these counterfeit products."
New London shop clerks fined for selling cigarettes to minors
City police and the state Department of Mental Health and Addiction Services found that three out of 27 tobacco retailers in the city sold cigarettes to minors during a compliance check Wednesday.
Using a state-trained minor, officers and department staff members checked businesses throughout the city and found that Honey Bee Farms, 298 Bank St., Galaxy Convenience Store at 121 Montauk Ave. and E&J Smoke Shop, 92 Truman St., sold cigarettes to the minor, police said.
Smokeless cigarettes won't fly on U.S. planes
Smokeless cigarettes won't fly
The U.S. Department of Transportation says the use of smokeless electronic cigarettes on airplanes is prohibited, and plans to issue an official ban this spring.
The department has been informing airlines and the public that it interprets its smoking regulations to include e-cigarettes. E-cigarettes are plastic and metal devices that heat a liquid nicotine solution in a disposable cartridge, creating vapor that the "smoker" inhales. Numerous videos on YouTube show passengers using the devices on airplanes.
Higher bag fees, seat costs
U S Airways is raising the fee to check heavy luggage on its domestic flights to an extra $90 each. The old fee was $50. That's on top of the $25 to check a first bag and $35 for a second bag, which are not changing.
The higher fees for bags over 50 pounds are effective for tickets bought after Feb. 1. US Airways says it's raising the fees to the same levels charged by other airlines. It also raised fees on bags between 71 and 100 pounds.
Meanwhile, starting this summer, Delta Air Lines will offer a new "Economy Comfort" class on long-haul international flights. The premium seats will include more legroom, 50 percent more recline and free cocktails for an extra cost of $80-$160 one way.
The U.S. Department of Transportation says the use of smokeless electronic cigarettes on airplanes is prohibited, and plans to issue an official ban this spring.
The department has been informing airlines and the public that it interprets its smoking regulations to include e-cigarettes. E-cigarettes are plastic and metal devices that heat a liquid nicotine solution in a disposable cartridge, creating vapor that the "smoker" inhales. Numerous videos on YouTube show passengers using the devices on airplanes.
Higher bag fees, seat costs
U S Airways is raising the fee to check heavy luggage on its domestic flights to an extra $90 each. The old fee was $50. That's on top of the $25 to check a first bag and $35 for a second bag, which are not changing.
The higher fees for bags over 50 pounds are effective for tickets bought after Feb. 1. US Airways says it's raising the fees to the same levels charged by other airlines. It also raised fees on bags between 71 and 100 pounds.
Meanwhile, starting this summer, Delta Air Lines will offer a new "Economy Comfort" class on long-haul international flights. The premium seats will include more legroom, 50 percent more recline and free cocktails for an extra cost of $80-$160 one way.
Gangs, Terrorists, Mafia Make Huge Profits Selling...Cigarettes
There's no better example of the law of unintended consequences than cigarette taxes in the United States.
Each state sets its own rate, and the disparity is huge. Missouri's state cigarette tax is 17 cents. It's $4.35 in New York.
What's the unintended consequence? Crime.
According to the Bureau of Alcohol, Tobacco and Firearms, the United States loses $5 billion in tax revenue every year from the trafficking of illegal cigarettes. Worldwide, it's a $100 billion problem, and it's the No. 1 economic crime in Europe.
"We liken it to the new prohibition era," Special Agent Ashan Benedict told CNBC for the upcoming documentary Cigarette Wars. "We haven't outlawed cigarettes yet, but it's taxed to the point where the criminals know they make a lot of money trafficking."
The crime has several variations, but it's extremely simple. The most common way: Buy cigarettes in a low-tax state and sell them in a high tax state. The tax disparity is straight profit.
"A carton of cigarettes in Virginia is $30," Benedict said. "In New York City, it can be $90 or more. That's just one carton.
"You start dealing with hundreds and hundreds of cartons, and folks are making more money selling cigarettes up north than drugs."
One truckload can translate into $1 million in cash.
Historically, the crime is considered a common racket executed by the mafia. But in 2011, the criminals range from gangs to terrorist groups. There are cases of illegal cigarette sales with ties to groups like Hezbollah and the Irish Republican Army.
"We have made cases, notably, the Charlotte Hezbollah case, where a cell out of Lebanon was trafficking cigarettes from North Carolina (a low-tax state) to Michigan (a high-tax state", said Jeff Cohen, a lawyer for the ATF. "They were using the proceeds to buy military armaments in Lebanon."
Albeit rare, those cases demonstrate that it's gone well beyond a mafia trade.
"The organizations are much more complex involving cigarette trafficking," Cohen said.
But the crime also happens on Main Street ... every day.
CNBC found one such example while following a multi-agency sting operation (ICE, ATF, FBI, local police) in Hampton, Virginia. A local convenience store owner was selling contraband cigarettes that did not have the proper tax stamps. That basically means the taxes weren't paid.
The owner was found guilty on four counts.
Again, the law of unintended consequences comes into play. A government that raises taxes, mainly in an effort to deter smoking. However, it has become so dependent on the tax revenue that law enforcement is going out to get that illicit money back and stop the trade.
"There are inherent contradictions," Cohen admitted. "You're taxing it to finance your programs and allegedly to make sure that people don't smoke.
"And at the same, you're saying, 'Oh, we're going to catch all the bad guys doing this.'"
Each state sets its own rate, and the disparity is huge. Missouri's state cigarette tax is 17 cents. It's $4.35 in New York.
What's the unintended consequence? Crime.
According to the Bureau of Alcohol, Tobacco and Firearms, the United States loses $5 billion in tax revenue every year from the trafficking of illegal cigarettes. Worldwide, it's a $100 billion problem, and it's the No. 1 economic crime in Europe.
"We liken it to the new prohibition era," Special Agent Ashan Benedict told CNBC for the upcoming documentary Cigarette Wars. "We haven't outlawed cigarettes yet, but it's taxed to the point where the criminals know they make a lot of money trafficking."
The crime has several variations, but it's extremely simple. The most common way: Buy cigarettes in a low-tax state and sell them in a high tax state. The tax disparity is straight profit.
"A carton of cigarettes in Virginia is $30," Benedict said. "In New York City, it can be $90 or more. That's just one carton.
"You start dealing with hundreds and hundreds of cartons, and folks are making more money selling cigarettes up north than drugs."
One truckload can translate into $1 million in cash.
Historically, the crime is considered a common racket executed by the mafia. But in 2011, the criminals range from gangs to terrorist groups. There are cases of illegal cigarette sales with ties to groups like Hezbollah and the Irish Republican Army.
"We have made cases, notably, the Charlotte Hezbollah case, where a cell out of Lebanon was trafficking cigarettes from North Carolina (a low-tax state) to Michigan (a high-tax state", said Jeff Cohen, a lawyer for the ATF. "They were using the proceeds to buy military armaments in Lebanon."
Albeit rare, those cases demonstrate that it's gone well beyond a mafia trade.
"The organizations are much more complex involving cigarette trafficking," Cohen said.
But the crime also happens on Main Street ... every day.
CNBC found one such example while following a multi-agency sting operation (ICE, ATF, FBI, local police) in Hampton, Virginia. A local convenience store owner was selling contraband cigarettes that did not have the proper tax stamps. That basically means the taxes weren't paid.
The owner was found guilty on four counts.
Again, the law of unintended consequences comes into play. A government that raises taxes, mainly in an effort to deter smoking. However, it has become so dependent on the tax revenue that law enforcement is going out to get that illicit money back and stop the trade.
"There are inherent contradictions," Cohen admitted. "You're taxing it to finance your programs and allegedly to make sure that people don't smoke.
"And at the same, you're saying, 'Oh, we're going to catch all the bad guys doing this.'"
Road to healthy life includes giving up cigarettes
First lady Michelle Obama spilled the beans earlier this month that President Barack Obama had quit smoking about a year ago. That is good news and certainly a difficult choice given the state of the world these days.
However, it is great to see a high-profile role model giving up smoking. If you are serious about making a lifestyle change, putting down the cigarettes is the next step you want to consider. Smoking is not good for you. We've known it for years.
However, if you can give up fried foods and alcohol as we did during 40 days and 40 nights, then you can put down the cigarettes, also.
"I'm very proud of him," Michelle Obama told reporters during a White House luncheon. "When somebody is doing the right thing, you don't mess with them. Our kids are getting to the age where he wants to look them in the face because they want to know. 'You don't smoke do you, Dad?' He wants to be able to say 'No.' "When I was a child, I used to hide my cousin Miss Boot's cigarettes. I wanted her to quit. It has been an on and off again battle for her decades later, but you must be strong.
One of the issues is binge eating. Smokers say that when they quit they have to put something in their mouths. It often leads to weight gain.
It is difficult to quit the smoking habit. Nicotine floods the brain with dopamine, a neurochemical that stimulates the brain. It makes smokers feel relaxed and satisfied. It also shuts down the urge for food, water and sex.
Wait?! It shuts down the urge for sex? There is reason enough to quit right there.
"I completely understand why you wouldn't want to give it up," Dr. David Abrams, an addiction researcher at the National Institutes of Health, told the New York Times. "It's more difficult to get off nicotine than heroin or cocaine."
Here is the problem. Tobacco reportedly has 19 cancer-causing chemicals and 4,000 other chemicals. That is a lot of junk to inhale in your body.
Smoking can lead to cancer, heart disease, high blood pressure, poor blood circulation to the legs and emphysema; plus inhibit taste and smell. And did I mention reduces your sex drive? Yeah, I guess I did.
Wow.
It is not good.
Many of you have worked to lose weight and want to keep it off. Maybe you are a smoker who uses tobacco to cut down on eating.
If you are binge eating it does not mean you have to put a fried chicken leg in your mouth. There are other alternatives. Try Pirates Booty, which features baked popcorn and puffs that are free of trans fats and gluten. Each serving is 130 calories and contains half the fat of regular potato chips. You can find it at Whole Foods.
I enjoy dipping green and red peppers in hummus or low-fat ranch dressing, and one of my favorite snacks is dried cherries, raw almonds and raisins. You can give up smoking and not gain a million pounds.
You must remember our core principles. Do baked and not fried. Always remember moderation and not excessive. And if you are good for the week, you can have a cheat day.
Good luck — and no smoking please.
However, it is great to see a high-profile role model giving up smoking. If you are serious about making a lifestyle change, putting down the cigarettes is the next step you want to consider. Smoking is not good for you. We've known it for years.
However, if you can give up fried foods and alcohol as we did during 40 days and 40 nights, then you can put down the cigarettes, also.
"I'm very proud of him," Michelle Obama told reporters during a White House luncheon. "When somebody is doing the right thing, you don't mess with them. Our kids are getting to the age where he wants to look them in the face because they want to know. 'You don't smoke do you, Dad?' He wants to be able to say 'No.' "When I was a child, I used to hide my cousin Miss Boot's cigarettes. I wanted her to quit. It has been an on and off again battle for her decades later, but you must be strong.
One of the issues is binge eating. Smokers say that when they quit they have to put something in their mouths. It often leads to weight gain.
It is difficult to quit the smoking habit. Nicotine floods the brain with dopamine, a neurochemical that stimulates the brain. It makes smokers feel relaxed and satisfied. It also shuts down the urge for food, water and sex.
Wait?! It shuts down the urge for sex? There is reason enough to quit right there.
"I completely understand why you wouldn't want to give it up," Dr. David Abrams, an addiction researcher at the National Institutes of Health, told the New York Times. "It's more difficult to get off nicotine than heroin or cocaine."
Here is the problem. Tobacco reportedly has 19 cancer-causing chemicals and 4,000 other chemicals. That is a lot of junk to inhale in your body.
Smoking can lead to cancer, heart disease, high blood pressure, poor blood circulation to the legs and emphysema; plus inhibit taste and smell. And did I mention reduces your sex drive? Yeah, I guess I did.
Wow.
It is not good.
Many of you have worked to lose weight and want to keep it off. Maybe you are a smoker who uses tobacco to cut down on eating.
If you are binge eating it does not mean you have to put a fried chicken leg in your mouth. There are other alternatives. Try Pirates Booty, which features baked popcorn and puffs that are free of trans fats and gluten. Each serving is 130 calories and contains half the fat of regular potato chips. You can find it at Whole Foods.
I enjoy dipping green and red peppers in hummus or low-fat ranch dressing, and one of my favorite snacks is dried cherries, raw almonds and raisins. You can give up smoking and not gain a million pounds.
You must remember our core principles. Do baked and not fried. Always remember moderation and not excessive. And if you are good for the week, you can have a cheat day.
Good luck — and no smoking please.
четверг, 10 февраля 2011 г.
Largo favors tobacco-free workplace
Largo City commissioners are leaning toward establishing a tobacco-free workplace, but they stopped short of favoring a ban on smoking in parks and other city facilities
At their Feb. 15 work session, most commissioners also were opposed to adopting a tobacco-free hiring policy, but said they could support giving a preference to applicants who didn’t use tobacco products.
They also said they could support putting signs near playgrounds encouraging people not to smoke in such areas.
Over the past several months, commissioners have considered a tobacco-free hiring policy.
In 2010, the catalyst for this discussion was the city’s insurance premium renewal, said city Human Resources Director Susan Sinz.
“What happened in 20l0 was our hearts all stopped because we had some really bad experiences for about 12 to 18 months, and some considerable catastrophic claims,” she said.
That prompted city officials to look at their health plan to determine what they could do to control costs.
Under a tobacco-free workplace policy, the city would prohibit its employees from smoking during the workday, other than at lunch. Employees would not be allowed to smoke at city facilities, such as the recreation centers and public works buildings. Members of the public would be allowed to smoke in designated smoking areas.
Commissioner Curtis Holmes expressed concerns about the tobacco-free hiring proposal, saying that it “brings out the libertarian in me.”
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