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New Legislation To Increase Pipe Tobacco Tax Rates


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I don't have the best attention span so I decided to paste Eric's message and make some changes, (hope you don't mind Eric) I just sent the following to Rep. Ken Calvert:



I am a small tobacco retailer. I sell hookah tobacco, which we are taxed as a pipe tobacco. After suffering a 100% loss in income being a 10 year Realtor in 2007 I started a small online stire and reached the size where I need to move to a larger facility to accommodate our orders. We sell the best hookah tobaccos/products and have the best customer service reputation in the industry.

HR 4439 would cripple us and likely put us and the other half a dozen or so domestic hookah tobacco manufacturers out of business. Not to mention 25 online retailers, and the countless brick and mortar stores across the country. Our being taxed as a pipe tobacco is unreasonable to begin with, since our product is no more than 10-18% tobacco by weight.

This is one segment of the United States economy that is growing, even through the recession, but with HR 4439 looming, how can I justify signing a new lease to expand operations? How can I plan for the future of my business when my business' very existence is threatened?

Please stop H.R. 4439, it hurts working Americans and small businesses.

Sincerely,
John Naddour
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just to nitpick a little (its what I do best), you do have representation. That is what most of the posts in this thread allude to when they say, contact your congressman. He's in the senate, or the House of [size="5"][b]Representatives.
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[quote name='Amn_sinclair' date='23 January 2010 - 03:37 PM' timestamp='1264289858' post='447348']
[img]http://giovanniworld.files.wordpress.com/2009/03/1286726344967370102.jpg[/img]


Hookah island is sounding really good right now..... that or base tangiers out of mexico then cross the border to mail it?
[/quote]
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Lol. That sucks, but you guys will still have it easy. We pay $75(bout $65-70 USD) for 250g Nakhla. But good luck fighting it, maybe your efforts will inspire me to start a petition of my own.
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The United States is not a socialist country. We do not have socialized health care and we don't want to have tobacco taxed the shit of like they do in Europe. The European (and New Zealand) delegates present will attest to how truly screwed it is smoking hookah in their countries and how expensive it is. They order it from the United States for the most part, its so bad.

We are the ones to let them know how screwed up and out of line this whole thing is.

Saliba from Planet Imports was the first one to pick up on this. Kudos to Saliba for the quick eye. He sells great products and is vigilant. He is a fine man. He communicated with Neal and Neal called me.

I agree with the sentiment we should add a common title header. I used something simple like "I am opposed to H.R. 4439" and then went into more detail.

Tell them it will hurt a lot of small businesses. I would add HR 1256 was fair in terms of tax increase, but this tax increase is unacceptable and excessive. Something in those terms.

A facebook group sounds like a great idea too. I think the Hookah Forum (and Tangiers.us) are a good means for centering the defense.

If you guys haven't done so, go to the other Hookah Forums out there and let them know whats going on! Spread the word. get them to write their congresspeople. We need numbers and loud complaints early. We are united or we are road kill on this. The cigarette companies would LOVE to see this pass. It will kill some more competition of theirs.
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Move operations to Mexico?

First, then there would be import duty on top of the excise taxes. Thats not an option.

Besides I am an American Citizen. I will not go to another country just because my country has stabbed me in the back. I will stay here and fight, even if I don't stay in business. Thats just a fact.
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This goes along with exactly the article I posted in the General Chat forum (look for my thread on "Interesting Article"). The article I posted there talks about how Big tobacco is lobbying Congress to pass more regulation and taxes. Yes, the cigarette companies WANT more regulation and more taxes on other forms of tobacco. Why? E-cigarrettes, hookah tobacco, pipe tobacco, etc is a much smaller industry than the cigarette industry. More regulation and taxes on the whole industry affects Big Tobacco LESS than it does the smaller industries (economies of scale). In turn, it helps drive out competition for the cigarette industries. So, I would not be surprised that big tobacco cigarette companies are actually lobbying congress to push this tax through, because it would actually help out their profits. Again, the article I posted explains this much much better than my quick summary here.

Also, this could be a side effect of prospective health care reform. If the government is going to try to fund peoples health care, then they will begin to increase more and more laws telling the citizens what is healthy for them and try to make decisions for us.
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I am going to try to get Al Fakher, Nakhla, Starbuzz and all the other smaller players in the game to chip in, to hire a professional lobby firm to represent the hookah tobacco industry. We are very small compared to other tobacco industries but must make ourselves heard. I will get price quotes and see if it is possible to get some solid representation. I love the grass roots stuff that is forming here keep up the good work. I will be doing my part.

George J
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[quote name='GeorgieHC' date='24 January 2010 - 10:02 PM' timestamp='1264388575' post='447505']
I am going to try to get Al Fakher, Nakhla, Starbuzz and all the other smaller players in the game to chip in, to hire a professional lobby firm to represent the hookah tobacco industry. We are very small compared to other tobacco industries but must make ourselves heard. I will get price quotes and see if it is possible to get some solid representation. I love the grass roots stuff that is forming here keep up the good work. I will be doing my part.

George J
[/quote]
Sounds awesome Georgie!

Hey, if this raises the prices of hookah products some, I dont mind... knowing that extra money is going to lobby for our hobby

keep us updated please
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Does anybody live in the districts of either of the sponsors? Steve Cohen (D-TN), 9th District of Tennessee or Lloyd Doggett (D-TX), 25th District of Texas? Since they are more likely to respond to people in their own district, we need you guys up front.
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Email to rep sent via her site. I also put together some info that I'm having ihcake put up on our lounge's myspace, facebook, twitter, and official website. We need to actively persue this issue.
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[quote name='Sonthert' date='25 January 2010 - 04:41 AM' timestamp='1264416119' post='447567']
Does anybody live in the districts of either of the sponsors? Steve Cohen (D-TN), 9th District of Tennessee or Lloyd Doggett (D-TX), 25th District of Texas? Since they are more likely to respond to people in their own district, we need you guys up front.
[/quote]

Texas 25th.... we're screwed.

[img]http://upload.wikimedia.org/wikipedia/en/a/ab/TX25_110.gif[/img]

Austin area is one of the largest concentration of Democratic voters that only know how to vote party lines. Although on the Plus side there are some members on here in the Austin/San Marcos Region and Hookah-Shisha.com is located in the heart of Austin.
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Well I let H-S know. Unfortunately don't have Sami's direct number, but I handed it off to someone I know will get it to him. Let's hope they can rally the Hookah Bars down there as well.
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[color="#FF0000"][size=4][b]If you guys want to do something, click on this link, it will take no more than 60 seconds of you time:
[/b][/size][/color]
[url="http://www.rallycongress.com/stop-the-pipe-tobacco-tax/2826/stop-pipe-tobacco-tax/"]http://www.rallycong...pe-tobacco-tax/[/url]
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The bill is still frozen as of yet. It hasn't made the House Ways and Means Committee agenda yet. It hasn't had any action on it. Lets keep it that way. Tell everyone you know to write your local House Rep. and the Chairman of the House Committee on ways and Means.Your mother, your brother, the mail man, people at the bar, whomever will listen to you for more than 20 seconds!
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[quote name='Codename067' date='25 January 2010 - 03:48 PM' timestamp='1264452521' post='447631']
[color="#ff0000"][size="4"][b]If you guys want to do something, click on this link, it will take no more than 60 seconds of you time:
[/b][/size][/color]
[url="http://www.rallycongress.com/stop-the-pipe-tobacco-tax/2826/stop-pipe-tobacco-tax/"]http://www.rallycong...pe-tobacco-tax/[/url]
[/quote]

Great post! I am the 22nd person from Indiana to sign this!
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