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South Carolina
On April 2, the state House of Representatives overwhelmingly approved (97 to 22) legislation increasing the cigarette tax by 50 cents per pack. This increase would bring the state tax rate to 57 cents per pack. Importantly, the legislation also includes $5 million in funding for tobacco prevention and cessation programs. The legislation now moves to the state Senate for consideration. South Carolina currently has the lowest cigarette tax in the country at 7 cents per pack. (Source: House Give SC Cigarette Tax Key Approval, Jim Davenport, Associated Press, April 2, 2009.)
Hawaii
On April 22, the Hawaii legislature approved legislation that will increase the state cigarette tax by 60 cents July 1, raising the tax to $2.60 per pack and then by an additional 20 cents in 2010 and 2011. The tax on tobacco products other than cigarettes will also increase, and the tax on little cigars will be set at the same rate as cigarettes. The measure now moves on to Gov. Linda Lingle for her signature or veto. (Source: Hawaii Legislature Passes Tax Hikes on Income, Cigarettes, April 24, 2009.)
Mississippi
On April 28, members of a House and Senate conference committee reached an agreement to increase Mississippi’s cigarette tax by 50 cents to 68 cents per pack. The House had originally passed an 82 cent increase and the Senate had passed a 31 cent increase. The legislation is expected to be voted on by the full House and Senate the week of May 4.
Florida
On April 28, leaders in the state Senate and House of Representatives reached a tentative agreement to increase Florida’s cigarette tax by $1.00 per pack to help deal with a large state budget deficit. This would bring Florida’s cigarette tax rate to $1.34 per pack. The legislation to increase the tax will be voted on by both Houses soon, according to media reports. If approved, it will then go to Gov. Charlie Christ for his signature or veto. (Source: Lawmakers Heading for Overtime, Lloyd Dunkelberger, Lakeland (FL) Ledger, April 28, 2009.)
Minnesota
On April 25, the state House of Representatives approved a 54 cent increase in the state cigarette tax as part of a tax bill to deal with a large budget deficit. This would bring Minnesota’s taxes and fees on cigarettes to about $1.77 per pack. However, the Senate’s tax bill does not include a cigarette tax increase, and Gov. Tim Pawlenty has indicated he may veto the measure if it raises taxes. (Source: Variety of Taxes on Menu at Capitol, Devin Henry, Minnesota Daily, April 27, 2009.)
Illinois
On April 29, the House Human Services committee voted 4 to 3 to send $1.00 increase in the cigarette tax over the next two years to the floor of the state House of Representatives. The tax would increase by 50 cents this year and an additional 50 cents next year, bringing the total state cigarette tax rate to $1.98 per pack. The state Senate already approved the increase earlier in April. (Source: Illinois Cigarette Tax Increase Advances, Mike Riopell, Quad City Times (IL/IA), April 29, 2009.)
North Carolina
On April 22, leaders in the state Senate introduced a plan that makes a variety of changes to taxes in North Carolina, but, disappointingly, reduces the $1.00 cigarette tax increase proposed by Gov. Beverly Perdue to only 15 cents per pack. Debate and changes to the overall tax plan are expected, which may result in a larger cigarette tax increase. (Source: Plan Would Alter Taxes, James Romoser, Winston-Salem Journal, April 23, 2009.)
Louisiana
On April 28, the House Ways and Means committee voted down a bill that would have increased Louisiana’s cigarette tax by $1.00 per pack sponsored by Rep. Karen Peterson. It is unclear if other cigarette tax increase proposals will be considered later in the legislative session. Gov. Bobby Jindal had indicated he would veto any bill that increases taxes prior to the start of the 2009 legislative session, including cigarette taxes. (Source: House Panel Kills Higher Cigarette Tax, Marsha Shuler, Baton Rouge Advocate (LA), April 29, 2009, p. 1A.)
California
On March 10, State Sen. Alex Padilla introduced legislation that would increase the state cigarette tax in California by $1.50; bringing the state tax rate to $2.37 per pack. As written, the legislation would direct 85 percent of the revenue to the state general fund and 15 percent to tobacco prevention and cessation programs and lung cancer research. Because the bill increases taxes, it would require two-thirds support in the House and Senate to be approved. (Source: California Lawmaker Pitches Big Cigarette Tax Hike, Mike Zapler, San Jose Mercury News, March 10, 2009.)
Source: Read the full story here
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On April 2, the state House of Representatives overwhelmingly approved (97 to 22) legislation increasing the cigarette tax by 50 cents per pack. This increase would bring the state tax rate to 57 cents per pack. Importantly, the legislation also includes $5 million in funding for tobacco prevention and cessation programs. The legislation now moves to the state Senate for consideration. South Carolina currently has the lowest cigarette tax in the country at 7 cents per pack. (Source: House Give SC Cigarette Tax Key Approval, Jim Davenport, Associated Press, April 2, 2009.)
Hawaii
On April 22, the Hawaii legislature approved legislation that will increase the state cigarette tax by 60 cents July 1, raising the tax to $2.60 per pack and then by an additional 20 cents in 2010 and 2011. The tax on tobacco products other than cigarettes will also increase, and the tax on little cigars will be set at the same rate as cigarettes. The measure now moves on to Gov. Linda Lingle for her signature or veto. (Source: Hawaii Legislature Passes Tax Hikes on Income, Cigarettes, April 24, 2009.)
Mississippi
On April 28, members of a House and Senate conference committee reached an agreement to increase Mississippi’s cigarette tax by 50 cents to 68 cents per pack. The House had originally passed an 82 cent increase and the Senate had passed a 31 cent increase. The legislation is expected to be voted on by the full House and Senate the week of May 4.
Florida
On April 28, leaders in the state Senate and House of Representatives reached a tentative agreement to increase Florida’s cigarette tax by $1.00 per pack to help deal with a large state budget deficit. This would bring Florida’s cigarette tax rate to $1.34 per pack. The legislation to increase the tax will be voted on by both Houses soon, according to media reports. If approved, it will then go to Gov. Charlie Christ for his signature or veto. (Source: Lawmakers Heading for Overtime, Lloyd Dunkelberger, Lakeland (FL) Ledger, April 28, 2009.)
Minnesota
On April 25, the state House of Representatives approved a 54 cent increase in the state cigarette tax as part of a tax bill to deal with a large budget deficit. This would bring Minnesota’s taxes and fees on cigarettes to about $1.77 per pack. However, the Senate’s tax bill does not include a cigarette tax increase, and Gov. Tim Pawlenty has indicated he may veto the measure if it raises taxes. (Source: Variety of Taxes on Menu at Capitol, Devin Henry, Minnesota Daily, April 27, 2009.)
Illinois
On April 29, the House Human Services committee voted 4 to 3 to send $1.00 increase in the cigarette tax over the next two years to the floor of the state House of Representatives. The tax would increase by 50 cents this year and an additional 50 cents next year, bringing the total state cigarette tax rate to $1.98 per pack. The state Senate already approved the increase earlier in April. (Source: Illinois Cigarette Tax Increase Advances, Mike Riopell, Quad City Times (IL/IA), April 29, 2009.)
North Carolina
On April 22, leaders in the state Senate introduced a plan that makes a variety of changes to taxes in North Carolina, but, disappointingly, reduces the $1.00 cigarette tax increase proposed by Gov. Beverly Perdue to only 15 cents per pack. Debate and changes to the overall tax plan are expected, which may result in a larger cigarette tax increase. (Source: Plan Would Alter Taxes, James Romoser, Winston-Salem Journal, April 23, 2009.)
Louisiana
On April 28, the House Ways and Means committee voted down a bill that would have increased Louisiana’s cigarette tax by $1.00 per pack sponsored by Rep. Karen Peterson. It is unclear if other cigarette tax increase proposals will be considered later in the legislative session. Gov. Bobby Jindal had indicated he would veto any bill that increases taxes prior to the start of the 2009 legislative session, including cigarette taxes. (Source: House Panel Kills Higher Cigarette Tax, Marsha Shuler, Baton Rouge Advocate (LA), April 29, 2009, p. 1A.)
California
On March 10, State Sen. Alex Padilla introduced legislation that would increase the state cigarette tax in California by $1.50; bringing the state tax rate to $2.37 per pack. As written, the legislation would direct 85 percent of the revenue to the state general fund and 15 percent to tobacco prevention and cessation programs and lung cancer research. Because the bill increases taxes, it would require two-thirds support in the House and Senate to be approved. (Source: California Lawmaker Pitches Big Cigarette Tax Hike, Mike Zapler, San Jose Mercury News, March 10, 2009.)
Source: Read the full story here
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