Report: States should be cautious as they look to sin taxes for revenue
By Yvonne Gonzalez, Las Vegas Sun
So-called sin taxes on alcohol, tobacco and gambling are not a reliable source of state revenue, authors of a new research report warn.
Sin taxes are volatile and likely to shrink as more states look to expand sports betting under a new Supreme Court ruling and legalize recreational marijuana as a solution to budget issues, according to a report released today by Pew Charitable Trusts.
The report, “Are Sin Taxes Healthy for State Budgets,” is a joint project between Pew and the Rockefeller Institute of Government that found “taxes on vices are tempting, but unreliable sources of revenue.”