Excise taxes, where government taxes the sale of particular goods, are usually levied with the excuse that consumption of a good or engagement in a certain activity is harmful for individuals. If this were actually true, you’d expect government bureaucrats to be happy when activities hit by excise taxes decreased – not that government has any business trying to discourage such activities. But as this story from Russia shows, they just want the money.
Russia’s finance minister Alexei Kudrin urged citizens Wednesday to smoke and drink more to help lift tax revenues for spending on social services.
“If you smoke a pack of cigarettes, that means you are giving more to help solve social problems such as boosting demographics, developing other social services and upholding birth rates,” Kudrin said, quoted by the Interfax news agency.
“People should understand: Those who drink, those who smoke are doing more to help the state,” he said.
As I recall, it didn’t turn out too well the last time Russia asked its citizens to prioritize the collective good above their own choices and freedoms.
