Expensive Lures

[Tim_T]

I agree, the price of crank baits is ridiculous. I'm not sure when this tax kicked in, but manufacturers now have to pay 10% off the top to the IRS.

from http://www.irs.gov/publications/p510/ch05.html:
A tax of 10% of the sale price is imposed on many articles of sport fishing equipment sold by the manufacturer. This includes any parts or accessories sold on or in connection with the sale of those articles.
Pay this tax with Form 720. No tax deposits are required.

This seems like a high rate of tax to me. I kicked around the idea of making baits and selling them online, but paying 10% right off the top is excessive. Of course, the Govt. taxes them again when they are purchased.

That tax is part of Wallop-Breaux funds. The money is distributed to the fish an game departments of each state based on how many license sales they have each year.

[RoadToad]

Someone mentioned higher-priced baits having better hooks. I saw KVD on tv one time and they asked him what he thought was the biggest mistake made by amateur fisherman, and without hesitation he said it's not replacing the hooks on their crankbaits as soon as they buy them. He went on to say that no matter the brand, he always replaces the hooks on every crankbait he buys before he uses it.

I'm not speaking from personal experience here, just quoting what someone else said, so take it for what it's worth.