As noted earlier, however, they acknowledge the impact of tax avoidance on the efficacy of state excise taxes and observe that it "points to the advantages of federal taxes." In theory, focusing on a federal tax approach could avoid some of the smuggling problems produced by large interstate tax differentials.[217] At the same time, however, it is difficult to see how a federal cigarette tax could supplant state taxes
Finally, as lawmakers decide on tax rates, they should consider the general tax burden, as these taxes are typically imposed in addition to general sales taxes, individual and corporate income taxes, property taxes, and other taxes on the activity in question
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Supreme Court to review an appeals court decision upholding a ruling that the requirement violated First Amendment free speech protections