Stam: No reason to raise sin taxes

Rep. Paul Stam thinks tobacco and alcohol tax hikes aren't necessary.

The Apex Republican, who is House minority leader, noted that Gov. Beverly Perdue expects to raise about $508 million with increases in both taxes next year.

Stam and other Republican leaders recently proposed $590 million in spending cuts, such as increasing class size by two students, buying software to reduce improper Medicaid payments and cutting annual funding to the Golden LEAF Foundation.

"She's not raising the taxes to provide essential services," he said. "She's apparently doing it because she thinks people who smoke and drink ought to pay more. Maybe they should — but not in the middle of a deep recession."

Stam also argued that taxes on alcohol and tobacco are regressive, since those purchases make up a larger proportion of a poor family's income.

"How many packs a day can a rich person smoke?" he said.