Higher New York Cigarette Tax Boon for Border Stores

Massachusetts shops are finding more customers, as New Yorkers cross in search of cheaper smokes.

July 06, 2010

HILLSDALE, N.Y. - New Yorkers are running for the border in search of less expensive cigarettes, the Berkshire Eagle reports. When the higher New York tax on cigarettes rose $1.60 per pack, the cost of some cigarettes jumped to more than $10.

"A lot of people say I€™m going to Massachusetts for cigarettes. It€™s very cheap. You know?" said Harpal Singh, manager of a Cobble Pond store. Most cigarettes in Massachusetts are cheaper by around $2 a pack.

Berkshire, Mass., is one border town that is already seeing an influx of New York smokers. While the Country Store hasn€™t seen an increase, the nearby Xtra Mart has had some bargain hunters, said store manager Brenda Young. Cigarettes at the Xtra Mart cost more than $1.60 less than in New York.

"Oh, yeah, a ton -- well, maybe not a ton -- but a lot of people are coming from New York," she said. "We had to order a lot of cigarettes, more than usual, in anticipation of New Yorkers coming down."

For the O€™Connell€™s Convenience Plus and Shell store station, catering to New Yorkers is nothing new. Clerks at the store said more New York residents came by in recent weeks before the New York tax hike. O€™Connell€™s added 10 percent to 20 percent more cigarettes in anticipation of more customers.

Other states have recently increased their cigarette taxes. Hawaii upped its cigarette taxes 40 cents more on July 1, which made placed Hawaii fourth in cigarette tax rates. South Carolina raised its cigarette taxes by 50 cents to 57 cents per pack.

Advertisement
Advertisement
Advertisement