Bush’s new tax on gun owners
For an avowed tax cutter, Bush sure is picking some strange fights. First, the Bush White House announced a plan to raise taxes on air travelers with a new airport security tax. Then, Bush’s budget included a plan for a new health care tax on injured troops who need prescription drugs.
But now Bush has picked a fight with his own gun-toting base: he wants to raise taxes on explosives by two cents per pound. If the administration’s definition of explosives includes gunpowder, which it seems to do, that means a new tax on ammunition — which the NRA will not accept.
Under the proposal, the Justice Department’s Bureau of Alcohol, Tobacco, Firearms and Explosives would get $924 million in funding for fiscal 2006, a 5% increase over the $878 million the agency received this year. But nearly 13% of the budget — or about $120 million — would come from the new user fee on explosives. If it isn’t put into effect, the agency could find itself strapped for cash.
And if it is put into effect, the NRA will be very unhappy. The group noted this week that the ATF definition of explosives includes “dozens of chemicals, compounds, blasting caps, detonators and, more importantly for the firearms lobby, black and smokeless powders used in ammunition.”
“Based on the broad language, we are concerned about the effect down the chain for consumers,” said NRA spokesman Andrew Arulanandam.
Indeed, Bush may find this “user fee” (read: tax) running into all manner of opposition. The mining and explosives industries rely almost exclusively on these chemicals and powders, and they aren’t willing to pay an additional two cents per pound tax.
The Institute of Explosives Makers says it will fight the fee and has been mobilizing other industries that use explosives, such as mining and fireworks, and even cosmetics.
“As far as we’re concerned, we’re going to object to it, fight it and ask how explosives will be defined,” said Christopher Ronay, executive director of the institute. “This is a tax. Whatever you want to call it, it comes down to a tax.”
It’s funny how raising taxes is always more difficult than presidents expect. Considering Bush’s rhetoric, he might find it more difficult than most.