Cigarette tax hike approved by Illinois Senate - Wandtv.com, NewsCenter17, StormCenter17, Central Illinois News-

Cigarette tax hike approved by Illinois Senate

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SPRINGFIELD, Ill. (AP) -- Illinois lawmakers have approved raising cigarette taxes by $1 a pack. It now goes to Gov. Pat Quinn, who supports the increase.

The state Senate approved the legislation 31-27 Tuesday in a vote that largely followed party lines.

Democrats argue the increase will help close a hole in the state Medicaid budget and also help prevent smoking. Republicans object to any tax increase.

Officials face a $2.7 million budget problem for Medicaid. They've already approved spending cuts of roughly $1.6 billion.

The tax is supposed to generate about $350 million. That would then be matched by the federal government to yield about $700 million.

Other tobacco products would see state taxes rise, too.

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The bill is SB2194.

Online: http://www.ilga.gov

(Copyright 2012 by The Associated Press.  All Rights Reserved.)

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