A 53% tax on Cigars?

[Niner]

Got this email yesterday:

ACTION ALERT FOR ALL CIGAR ENTHUSIASTS!

Currently before the United States Senate is a proposal to fund health insurance on the backs of tobacco products to the tune of $35 billion (that's Billion with a B). Most egregious is the proposed tax rate on cigars of 53.1%, including a breathtaking 20,400% increase in the cap. This would make handmade cigars - a true mom-and-pop industry, a product enjoyed by choice an average 3 times per week - the single largest excise taxed item in the entire Internal Revenue Code....by a long shot.

This piece of legislation is called SCHIP (State Childrens Health Insurance Plan). Tonight this bill is being marked up in the Senate Finance Committee and is expected to come to the Senate floor for a vote as early as end of week. We urge you to call both of your U.S. Senators today and express your opposition to funding "SCHIP legislation" with punitive cigar taxes. As a constituent your voice will be heard. Please see phone numbers below for your Senators.

Sincerely,

Keith Meier

Cigars International