The biggest tobacco tax kicks in USA

A new tobacco tax, the largest one, will go into effect in April. The cost of a packet of cigarettes will be almost tripled, to more than a dollar.

The Obama administration plans to use the money to pay for health care for uninsured children. Health members said that raising taxes on cigarettes is a good way to get more people to stop smoking. For people who smoke a pack a day, the tax hike will cost them another $225 a year.

Similar tax increases are going into effect even for cigars, pipe tobacco and chewing tobacco.

The tax increase is only the first move in a recharged anti-smoking campaign. Congress also is considering legislation to help the Food and Drug Administration to control tobacco use among populations. Obama, who has suffered over his own cigarette habit, said he would sign such a bill.

The Tobacco Companies raised prices on cigarettes a few weeks ago to start making up for the money they expect to lose in sales. For example Philip Morris raised Marlboro prices by 71 cents a pack early this month, and prices on smaller brands by 81 cents a pack. Other major companies followed suit too. Some people are worried that the tax hike will drive people away and hurt the industry. Others are worried that the tax is going to affect stores around the region. Cigarette stores owners said that in USA there are a lot of stores that's going to be closed because tobacco tax rises.

Margaret Webster, 42, puffed on a Marlboro Ultra Light and lamented the fact that the government is reaching deeper into her pocketbook. "I don't think we, smokers, like it," she said. "But I've heard so many people say they were going to quit when the price went up ... and they're still smoking."

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