Tennessee “Crack” Tax Brings In More Than $1.7 Million


Tennessee’s unauthorized substances tax, dubbed the “crack tax,” raked in $1,714,565 since becoming effective on Jan 1., 2005, reports the Tennessean. More than $32 million in uncollected taxes has been assessed. The money collected has already covered the one-time startup cost of the program.

Not everyone supports the new law. Nashville defense lawyer Glenn Funk said the tax is unfair because the taxes are often assessed before the suspect is convicted of a crime. “It is a ridiculous law,” Funk said. “The law on the books now is allowing revenue agents to seize personal property of citizens based solely on an accusation by a police officer.” The unauthorized substances tax is levied on illegal drugs including marijuana, cocaine, and methamphetamine. It also is assessed on illicit alcoholic beverages, such as “moonshine.”

Link: http://www.tennessean.com/apps/pbcs.dll/article?AID=/20060124/NEWS03/601240329/1001

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