Cigarette Tax By State

30.11.2022
Jenifer

Have you ever wondered why cigarette prices are so different across the nation? The main culprit is the difference in the cigarette tax by state. That’s why New Yorkers pay more than $10 for a pack while it costs $4.91 on average in Missouri.

Cigarettes and tobacco products are very pricey, but the production cost is nowhere near the price consumers are paying. (Yes, just like Apple products. But for entirely different reasons.) It’s the taxes that drive the end price up. 

So, do you know how much your state charges in cigarette taxes? It might be more than you think. 

Join us to find out more.

Federal Tax on Cigarettes

This represents a long-standing policy designed to discourage smoking and raise revenue for the government. Cigarettes are taxed at both state and federal levels, and the tax rate has been increased several times over the years to reduce smoking rates. 

Cigarettes in the US are subject to a federal tax, currently at $1.01 per pack. The current rate sits at this level after it was last increased in 2009 by $0.62. 

Cigarette Tax By State

In addition to the federal tax, cigarettes are also subject to state and local taxes, which vary depending on the jurisdiction. They have a considerable impact on the product’s final price. In New York City, for example, cigarettes are subject to an additional tax of $1.50 per pack. These taxes make cigarettes one of the most expensive consumer products stateside.

Now let’s take a closer look at the specific cigarette tax rates by state. 

Alabama Cigarette Tax

The state of Alabama currently ranks 37th in terms of its cigarette tax rate which sits at $0.675 per pack, bringing the average cost per pack to $5.37 when we also account for the state’s sales tax of $0.18 per pack. Other cigarette products are taxed differently depending on the type. 

Large or premium cigar tax amounts to $0.0405 per cigar while the small ones are taxed at $0.04 per 10 cigars. Smoking tobacco tax ranges from $0.04 to $0.21 per oz while chewing tobacco and snuff are at $0.015 per oz and $0.01–$0.12 per oz, respectively.

Alaska Cigarette Tax

The Alaska cigarette sales tax by state stands at $2.00 per pack of 20. The result is that the cost of cigarettes in Alaska is the 5th highest in the US, averaging $8.81 per pack even if the state doesn’t charge a sales tax on cigarettes.

Arizona Cigarette Tax

Cigarettes in Arizona are taxed at a rate of $2.00 per pack of 20 and an additional sales tax of approximately $0.37 for each pack. This makes for a total of $2.37 in taxes per pack and an average pack price of $6.92, the 15th highest stateside. Cigarette excise tax by state data shows that the AZ cigarette tax rate has remained unchanged for over a decade.

Taxes on large/premium cigars can go up to $0.218 per cigar whereas small cigars are taxed at $0.441 per 20 cigars. Taxes on chewing tobacco, smoking tobacco, and snuff are the same at $0.223 per oz. 

Arkansas Cigarette Tax

The AR cigarette tax is $1.15 while the average cost per pack is $5.49, which also accounts for a sales tax of $0.34/pack. The tax on a pack of cigarettes by state data shows that Arkansas is in the middle of the board when it comes to tax and price. 

Except for large/premium cigars, other tobacco products including small cigars, chewing tobacco, smoking tobacco, and snuff are charged with tax amounting to 68% of manufacturers’ advertised selling price. Meanwhile, large/premium cigars are taxed at $0.50/cigar + 2% of the manufacturers’ advertising selling price.

California Cigarette Tax

Cigarette distributors in California are charged an excise tax of $0.87 per pack of 20 and an additional sales tax of approximately $0.43 per pack. 

The data on tobacco tax by state shows that other tobacco products such as cigars, chewing tobacco, pipe tobacco, and snuff are taxed with a CA tobacco tax of 28.95% of the manufacturer’s selling price. At $5.53 on average, the cost of cigarettes in California is the 30th highest in the US.

Colorado Cigarette Tax

Cigarettes in Colorado are subject to $1.94 in excise tax per pack of 20. An additional sales tax of around $0.15/pack is also imposed on cigarettes. 

According to CO cigarette tax laws, other tobacco products, including large/premium cigars, small cigars, chewing tobacco, and smoking tobacco, are charged half the manufacturer’s/wholesale purchase price. Snuff meanwhile has an excise tax of $1.233/oz.

Connecticut Cigarette Tax

Data on cigarette tax by state shows that at $3.90, Connecticut is near the top of the states with the most expensive cigarettes. Add to that a sales tax of $0.53 per pack and you’ll get $8.91/pack, making the state the fourth most expensive for someone with nicotine addiction. 

Additionally, small and large cigars and chewing and smoking tobacco are subject to a CT tobacco tax of 50% of the wholesale sales price. But for small and large cigars, the tax should not exceed $0.50/cigar. Snuff tax is equivalent to $3.00 per oz.

Delaware Cigarette Tax

Cigarettes are subject to a DE cigarette tax of $1.60 per pack, and no sales tax. The cost of a pack of cigarettes is averaging $5.50, the 32nd highest in the country.

Data on tobacco tax by state shows that a tax amounting to 30% of the manufacturer’s price is imposed on small, large, chewing, and smoking cigarette products. Snuff tobacco is taxed at $0.92 per oz for moist and 30% of the wholesale price for dry.

Dist. of Columbia Cigarette Tax

The District of Columbia is one of the states with the highest cigarette state excise tax of $5.01 per pack. In addition to this cigarette tax by state,  D.C. also imposes a $0.41 of sales tax per pack, taking the total average pack cost to $7.30 — the 14th highest nationwide.

Tobacco taxes in D.C. — For other tobacco products, such as large cigars, chewing and smoking tobacco, and snuff, the tax is the same at 80% of wholesale price. Small cigars are taxed at $5.01 per 20 cigars.

Florida Cigarette Tax

In FL, a cigarette tax of $1.34 per pack of 20 is levied on cigarettes. Large and small cigars are not taxed, while chewing tobacco tax, by state laws, is 85% of the manufacturer/wholesale purchase price. The same tax rate applies to smoking tobacco and snuff. Florida has the 33rd highest cigarette cost per pack, at $5.50 on average, with the price also taking into account a sales tax of $0.31/pack.

Georgia Cigarette Tax

GA cigarette tax is one of the lowest in the US —  $0.37 per pack of 20. Smoking tobacco, chewing tobacco, and snuff have a similar tax rate of 10% of the selling price. Moreover, large or premium cigars are taxed at 23% of the selling price while small cigars are charged with $0.0025 per cigar tax. 

The average cost of cigarettes per pack in Georgia is $4.92, also including a sales tax of about $0.22/pack.

Hawaii Cigarette Tax

Hawaii has the 2nd highest average cost of cigarettes at $8.99 per pack. However, cigarette tax rates by state show that HI cigarette tax of $3.20 per pack is way lower than many other states. Increased transportation costs can probably explain the high price, which also includes a sales tax of $0.35.

Large or premium cigars are subject to 50% of the selling price while small cigar tax is $0.16 per cigar. Other tobacco products, namely chewing, smoking, and snuff are taxed at 70% of the wholesale sales price.

Idaho Cigarette Tax

In Idaho, a state excise tax of $0.57 is imposed on cigarettes per pack of 20, while the average cost of a 20-cigarette pack is $5.23, which is the 41st highest in the country. The state also imposes a sales tax of $0.30 per pack. As far as the Idaho tobacco tax on other products is concerned, this is at 40% of the manufacturer’s price.

Illinois Cigarette Tax

IL cigarette tax is $1.98 per pack of 20. Facts on cigarette sales tax by state show that there is an additional sales tax of $0.44 per pack. The state also has the 12th highest cost of cigarettes in the US, averaging at $7.56 per pack. 

When it comes to large cigars, chewing tobacco, smoking tobacco taxes, and dry snuff, the same tax rate of 36% of the manufacturer’s price applies. Small cigars, meanwhile, are taxed at $0.149 per cigar, while moist snuff tax is at $0.30/oz.

Indiana Cigarette Tax

IN cigarette tax  is $1.00 per pack of 20 cigarettes. Aside from that, a sales tax of approximately $0.36 per pack also applies. As a result, a pack of cigarettes in Indiana costs $5.56 on average, which is the 29th highest nationwide. 

Data on cigar tax by state shows that an additional Indiana tobacco tax rate of 24% of the manufacturer’s price is imposed on large and small cigars, chewing and smoking tobacco, and dry snuff. For moist snuff, the tax rate is $0.40/oz.

Iowa Cigarette Tax

A pack of cigarettes here has a corresponding IA cigarette tax of $1.36 per pack of 20 and an average cost of $5.83, which also includes a sales tax of $0.33. This amount is the 26th highest in the US. 

Chewing tobacco and smoking tobacco have a tax rate of 50% of the manufacturer’s price. The same rate is applied to large cigars without exceeding $0.50/cigar. Small cigar tax is $0.068 per cigar and snuff tax is $1.19 per oz.

Kansas Cigarette Tax

If we take a look at cigarette excise tax by state data, we can see that Kansas imposes an excise tax rate of $1.29 per pack of 20 cigarettes and another $0.36 as sales tax. 

The rest of the other tobacco products are subject to a tax rate of 10% of the manufacturer’s price. The $5.89 average price of a pack of cigarettes is the 25th highest among the 50 states.

Kentucky Cigarette Tax

Kentucky levies various tax rates on different cigarette and tobacco products. But generally, tax on a pack of cigarettes by state data shows that the KY cigarette tax is $1.10 per pack, plus a sales tax of $0.32. Large/premium cigars, small cigars, and smoking tobacco are taxed at 15% of the wholesale sales price with a discount. 

Meanwhile, chewing tobacco is subject to $0.19—$0.65 per unit tax while snuff tax is at $0.19/1.5oz. Kentucky has the 48th highest average cost of a pack of cigarettes at $5.36. Chewing tobacco and snuff have a 20% of the manufacturer’s tax while smoking tobacco tax is a bit higher at 33% of the manufacturer’s price.

Louisiana Cigarette Tax

As we’ve concluded, there are significant differences in the cigarette excise tax by state. LA cigarette tax, for instance, is $1.08. The state also charges a sales tax of approximately $0.21 per pack. 

In terms of cost, Louisiana has the 36th highest price at $5.42 per pack on average. Both small and large cigars are subject to a tobacco tax ranging from 8% to 20% of the manufacturer’s price. 

Maine Cigarette Tax

ME cigarette tax is $2.00 per pack of 20 cigarettes. The state also has the 16th highest average cost of cigarettes amounting to $6.62 since it also includes a sales tax of about $0.35 per pack. In addition, large cigars, small cigars, and smoking tobacco are taxed at 43% of the manufacturer’s price. On the other hand, chewing tobacco tax by state data shows that chewing tobacco and snuff tax in Maine is at $2.02 per oz or package.

Maryland Cigarette Tax

The state of Maryland charges $3.75 per 20 cigarettes whereas the average cost is $6.60 per pack, making it the 17th highest in the country. A sales tax of $0.37 also applies. 

MD cigarette tax regulations state that small cigars are taxed at 70% of the wholesale price, while premium cigars are taxed at 15%. All other tobacco goods are taxed at 7% of the proposed retail price, whereas pipes are taxed at a rate of 30%.

Massachusetts Cigarette Tax

Massachusetts is one of the best states to start a business but also one of the best places to quit smoking — due to high cigarette taxes and prices.

The MA cigarette tax stands at $3.51 per pack of 20. The typical cost of a pack of cigarettes in there is $9.08, the second-highest stateside since it also includes a hefty sales tax of $0.53 per pack.

Chewing tobacco tax by state data shows that Massachusetts has the highest rate — 210% of the manufacturer’s price — while small and premium cigars (and smoking tobacco) are subject to a 40% tax.

Michigan Cigarette Tax

MI cigarette tax is $2 per pack. The average price for a 20-cigarette pack is around $6.44, which makes it the 19th highest nationwide, and also accounts for a $0.36 sales tax per pack. Other cigars and tobacco products get their taxes calculated based on how much they cost to produce (32%), but the tax on premium brands should not exceed 50%.

Minnesota Cigarette Tax

Analysis of the tobacco tax by state shows that In Minnesota, cigarettes (including small cigars) are taxed with an MN cigarette tax of $3.00 per pack of 20, plus a $0.54 sales tax. Chewing tobacco has a tax rate of 95% of the manufacturer’s price. 

The same goes for premium cigars with an additional fee that does not exceed 50 cents for every cigar smoked. The tax on snuff varies depending on if it’s made with 1.2 ounces or less material but can total up to $3.

Mississippi Cigarette Tax

Mississippi imposes an excise tax on cigarettes and all other tobacco products. The MS cigarette tax is $0.68 per 20 cigarettes and $0.36 in sales tax. Analysis of smokeless tobacco tax by state data shows that other tobacco products are taxed at 15% of the manufacturer’s list price in Mississippi. Relatively low tax results in a low cost of a pack of cigarettes –  $5.47 on average.

Missouri Cigarette Tax

MO cigarette tax is just  $0.17 per pack, but cigarettes also have a sales tax of around $0.19. The cost of a pack of cigarettes is $4.38, which means that Missouri has the cheapest cigarettes by state. Other tobacco products are taxed at 10% of the manufacturer’s price.

Montana Cigarette Tax

Cigarette tax rates by state show that the Treasure State has a relatively high tax. Montana charges a $1.70 retail excise tax per 20 cigarettes, which is more than 64% of the other 50 states. MT cigarette tax rate is #18 among the 50 states. The state does not impose a sales tax on cigarettes.

Moreover, the average cost of a pack of cigarettes is $6.11, which makes it the 22nd most expensive in the US. Other tobacco products are subject to a tax equal to half the manufacturer’s price.

Nebraska Cigarette Tax

The Cornhusker State doesn’t have the lowest cigarette tax by state, but it comes pretty close. The NE cigarette tax is $0.64 per 20 cigarettes, which is less than 74% of the states in the country and ranked #37 among the 50 states. Nebraska does impose a sales tax of $0.28 per pack. 

A pack of cigarettes in Nebraska costs $5.32, the 38th highest in the country. Snuff is taxed at a rate of $0.44 per ounce, which is lower than the 20% levied on other cigars and tobacco goods.

Nevada Cigarette Tax

In Nevada, the cigarette tax stamp by state comes in at $1.80 per pack of 20. The cost of a pack of cigarettes in Nevada is $6.44, the 20th highest in the country, also accounting for a sales tax of $0.41 per pack. Small and premium cigars, chewing and smoking tobacco products, and snuff are all levied 30% of the manufacturer’s price.

New Hampshire Cigarette Tax

Taxes on cigarettes in NH, including small cigar brands, are relatively low, at $1.78 per pack, ranking New Hampshire 24th stateside. The state does not impose any sales tax in addition to this one. On the other hand, data on the smokeless tobacco tax by state shows this type of tobacco is taxed at 65.03% of the wholesale price. The same rate applies to loose tobacco, snuff, and premium cigars.

New Jersey Cigarette Tax

The state of New Jersey charges a standard cigarette tax of $2.70 per 20-cigarette pack, and a sales tax of $0.50 per pack, taking the total tax per pack to $3.20. The NJ cigarette tax contributes to an average price per pack of $7.66. Other cigars and tobacco products are taxed at a rate of 30% over the manufacturer’s price.

New Mexico Cigarette Tax

In NM, the cigarette tax is $2 per pack of 20, including a $1.66 cigarette tax and a $0.34 sales tax. If we compare the tax on a pack of cigarettes by state, we can see that this is greater than the national average and ranks #20 among the other 50 states. 

Little cigars are taxed at $0.10 per cigar, whereas other tobacco items are subject to a 25% markup on the manufacturer’s selling price. The average price of a pack of cigarettes in New Mexico is $6.53, which is the 18th highest in the country.

New York Cigarette Tax

The NY cigarette tax rate is $4.35 per pack of 20 cigarettes, while the sales tax stands at $0.40 per pack. All of this means that New York sells pretty pricey cigarettes at $10.45 per pack, even though it doesn’t have the highest cigarette tax by state. Cigars and other tobacco items are taxed at 75% of the manufacturer’s selling price

North Carolina Cigarette Tax

If you are a business person and like to smoke while making important business decisions, this is the state for you. North Carolina has the lowest corporate tax rates and one of the lowest cigarette taxes.

The NC cigarette tax is just $0.45 per 20-cigarette pack. The average price of $4.87 per pack makes it the 47th highest among all 50 states. Every other tobacco product in the state is taxed at 12.8% of its manufacturer’s selling price.

North Dakota Cigarette Tax

North Dakota doesn’t have the lowest cigarette tax by state but comes pretty close. The Peace Garden State charges just $0.44 per pack and a sales tax of $0.23 per pack, while the average cost per pack is $4.82, the country’s 49th highest. 

Low taxes on cigarettes in North Dakota make smoking pretty affordable, especially when compared to other states. Cigars and smoking tobacco are subject to a tax of 28% of the manufacturer’s selling price. Chewing tobacco is taxed at $0.16 per ounce, whereas snuff is taxed at $0.60 for every ounce.

Ohio Cigarette Tax

Ohio’s excise tax on cigarettes is $1.60 per pack, ranking the state at #28 out of the 50 states. This means that Ohio has a lower excise tax on cigarettes than 56% of other states. 

Our analysis of cigarette sales tax by state data shows that cigarettes are also subject to an Ohio sales tax of approximately $0.37 per pack, contributing to an average price per pack of $6.10. 

In addition to cigarettes, other tobacco products are subject to an excise tax of 37% of the manufacturer’s price. Small cigars are taxed at a slightly lower rate of 17% of the manufacturer’s selling price.

Oklahoma Cigarette Tax

Taxes here are lower than the national average, but they are still high enough to rank the state 30th overall. The OK cigarette tax is $2.03 per pack of 20 cigarettes, and there is no sales tax on cigarettes in Oklahoma. As a result, the average cost of a pack of cigarettes in Oklahoma is $6.12. 

Data on chewing tobacco tax by state shows that this type and snuff are taxed at 60% of the manufacturer’s sales price, while smoking tobacco is taxed at 80%. Premium cigars have different tax rates depending on the class — $0.10 per cigar for class B and $0.12 per cigar for class C.

Oregon Cigarette Tax

The OR cigarette tax is $1.32 for a pack of 20 cigarettes, and no sales tax applies. Chewing tobacco and premium cigars are taxed at 65% of the manufacturer’s selling price. However, cigar tax, by state regulations, cannot exceed $1.00 per cigar.

On the other hand, smoking tobacco is taxed at 65% of the selling price while moist snuff tax is at $1.80 per oz and dry snuff tax is at 65% of the manufacturer’s selling price. The average cost of a pack of cigarettes in Oregon is $5.26, which ranks 40th highest in the US.

Pennsylvania Cigarette Tax

Cigarettes are taxed at $2.60 per pack and have a sales tax of approximately $0.47. As a result, the total taxes on cigarettes in PA are $3.07. Additionally, the average cost of a packet of cigarettes is $8.27, which makes it the 7th most expensive nationwide. 

Cigar tax by state analysis shows that premium cigars are not taxed in Pennsylvania, but other tobacco products such as chewing, smoking, and snuff have a rate between $0.55 – $0.66 per ounce. 

Rhode Island Cigarette Tax

Rhode Island’s high excise tax on cigarettes ($3.75 per 20 cigarettes) is ranked #3 out of the 50 states.The  RI cigarette tax, coupled with the state’s sales tax of $0.58 per pack, results in an average cost of $8.87 per pack of cigarettes and makes smoking quite expensive in Rhode Island. 

In addition, premium cigars and other tobacco products are taxed at 80% of the manufacturer’s selling price. Analysis of smokeless tobacco tax by state shows that snuff and similar products are taxed at $1.00 per oz in Little Rhody.

South Carolina Cigarette Tax

The average cost of a pack of cigarettes in South Carolina is $5.05, which is the 44th highest in the US. Products other than cigarettes are subject to a rate of 5% of the manufacturer’s selling price.

Taxes on cigarettes in SC are — $0.57 per pack of 20 an additional sales tax of approximately $0.29 per pack, which adds up to a total tax per pack of $0.86. 

South Dakota Cigarette Tax

According to data on cigarette tax by state, cigarettes in South Dakota are subject to a state excise tax of $1.53 per pack of 20 and a sales tax of $0.23. Cigarette taxes in SC are the 24th highest in the US, where the average cost of a pack of cigarettes is $6.01.

In addition to cigarettes, other tobacco products such as cigars, chewing tobacco, and snuff are charged an excise tax of 35% of the manufacturer’s selling price.

Tennessee Cigarette Tax

The average cost of a pack of cigarettes in Tennessee is $5.10, the 43rd highest in the US. This is due to low taxes — taxes on cigarettes in TN are $0.62 per pack of 20, and the sales tax is around $0.40 per pack.

Chewing tobacco tax by state data shows these products are levied a tax rate of 6.6% of the manufacturer’s selling price. For small cigars, the tax rate is either $0.62 per 20 cigars or 6.6% of the manufacturer’s selling price. 

Texas Cigarette Tax

The excise tax on Texas’s cigarettes is $1.41 per pack, which is higher than 52% of the other 50 states. Moreover, the average cost of a pack of cigarettes in Texas is the 28th highest at $5.78, also accounting for a sales tax of $0.34. 

Smokeless tobacco tax by state data shows that in Texas, other tobacco products are taxed at $1.22 per oz, while the tax on premium cigars ranges from $7.50 to $15.00 per 1,000 cigars. In addition to state taxes, cigarettes are also subject to Texas sales tax of approximately $0.34 per pack.

Utah Cigarette Tax

The state of Utah levies a cigarette excise tax of $1.70 per pack in addition to a sales tax of about $0.36. Also, tobacco products (chewing and smoking) and premium cigars are charged at 86% of the manufacturer’s selling price.

Snuff tax varies depending on the type — $1.83/oz for moist and 86% of the manufacturer’s selling price for the dry variety.

Vermont Cigarette Tax

Cigarette tax rates by state analysis shows that Vermont has a tax on cigarettes of $3.08 per 20-cigarette pack, which is one of the highest rates in the country. Cigarettes are also subject to a sales tax of approximately $0.45 per pack, while the average cost per pack is $8.01, the country’s 9th most expensive. 

Various VT tobacco tax rates apply to different types of cigar and tobacco products. Premium cigar tax is 92% of the wholesale sales price or anywhere between $2.00 and $4.00/cigar. Small cigars are taxed at $0.154 per cigar.

Chewing tobacco tax is $3.08 per package or $2.57 per oz, smoking tobacco is taxed at 92% of the wholesale sales price, and snuff tax is $2.57 per oz.  

Virginia Cigarette Tax

Cigarette excise tax by state comparison shows that Virginia smokers have one of the lowest taxes. Namely, taxes on cigarettes in Virginia are just $0.30 per pack, plus a sales tax of approximately $0.24. The average cost of a pack of cigarettes in Virginia is $4.78, the 50th highest stateside.

Cigars (both small and premium) and smoking tobacco are charged 20% of the manufacturer’s price. Chewing tobacco is subject to a tax rate ranging from $0.42 to $1.40 per unit. The tax on dry snuff is $0.36/oz while dry snuff tax is 10% of the manufacturer’s selling price.

Washington Cigarette Tax

Research on tax on a pack of cigarettes by state shows that the WA cigarette excise tax is $3.03 per pack of 20. On top of that, cigarettes are subject to a sales tax of about $0.49 per pack. 

The state’s average cost per pack of cigarettes is $8.05, the 8th most expensive in the nation. Tobacco products are taxed at 95% of the manufacturer’s selling price. The same rate applies to premium cigars but not exceeding $0.65 per cigar.

West Virginia Cigarette Tax

Cigarette tax by state data reveals that West Virginia charges $1.20 per pack of 20, plus an additional sales tax of about $0.31 per pack. 

Additionally, a surcharge of 12% of the manufacturer’s selling price is applied to cigars and other tobacco products. In West Virginia, a pack of cigarettes costs an average of $5.53, the 31st highest in the US.

Wisconsin Cigarette Tax

The average cost of a pack of cigarettes here is the 10th highest in the country at $7.67. Taxes on cigarettes in Wisconsin are an excise tax of $2.52 per pack of 20 and a sales tax of $0.37 per pack. 

Our tobacco tax by state analysis shows that other tobacco products, dry snuff, and premium cigars are taxed at 71% of the manufacturer’s selling price in Wisconsin. Also, small and premium cigars’ tax must not exceed $0.50 per cigar. Meanwhile, moist snuff is charged 100% of the manufacturer’s list price.

Wyoming Cigarette Tax

WY cigarette tax of $0.60 per pack of 20 cigarettes places it squarely in the middle of US states in terms of cigarette taxes. At $5.04 per pack, the 45th highest average cost of cigarettes in Wyoming is also about average, also incorporating a sales tax of $0.19 per pack. Meanwhile, other cigars and tobacco products are subject to a 20% excise tax.

Lowest Cigarette Tax By State

Missouri has the lowest excise tax on cigarettes at $0.17 per 20-cigarette pack. Virginia comes in as the nearest competitor and has an average tax rate for their 20s that stands around twice that amount – $0.30/pack. Other states that charge the lowest tobacco taxes are North Dakota at $0.44, North Carolina at $0.45, and Georgia at $0.47 per cigarette pack. 

Experts claim that lowering excise taxes on cigarettes in Missouri is one of the state’s marketing strategies to attract customers to stores that are on the border with other states.

Highest Cigarette Tax By State 

The District of Columbia currently has the highest cigarette tax rate in the United States, at $5.01 per pack of 20 cigarettes. Tying for the second place are New York and Connecticut at $4.35 per 20-pack.

Then, let’s take the case of Vermont, for instance, which charges one of the highest cigar rates per capita in the country. Depending on the cigar category, VT tobacco tax is 92% of the wholesale price or up to $4 per cigar.

When it comes to moist snuff, Massachusetts has the highest tax rates in the country, reaching 210% of the manufacturer’s selling price. Meanwhile, snuff from Connecticut costs $3 per ounce.

Cigarette Tax Revenue By State 

The Federal government collects excise taxes levied on tobacco goods such as cigarettes, cigars, snuff, chewing tobacco, and smoking tobacco. Currently, the tax on cigarettes is roughly $1 per pack of 20 cigarettes.

The Congressional Budget Office projects that tax cigarette tax revenues will reach $34 billion over a decade.

In 2019, the latest report available, revenues generated from cigarette and tobacco taxes in the US reached over $19 billion. Since the cigar tax by state varies, the tobacco tax income also differs by state. 

Revenue From Taxes on Cigarettes in Alabama

The state generated more than $203 million in revenue from cigarette and tobacco taxes. This accounts for 1.07% of the country’s total revenue.

Revenue From Taxes on Cigarettes in Alaska

Taxes on cigarettes In AK amounted to $97.61 million, which accounts for 0.51% of the total revenue nationwide.

Revenue From Taxes on Cigarettes in Arizona

Arizona’s total state and local revenues from tobacco and cigarette taxes amounted to $309.13 million. Cigarette tax revenue by state analysis shows that it represents 1.63% of the entire country’s gains from said products.

Revenue From Taxes on Cigarettes in Arkansas

Collections from cigarette and tobacco taxes in AR form 1.15% of the total revenues across the country. That is equivalent to $218.65 million for the state.

Revenue From Taxes on Cigarettes in California

Of the 51 states, California contributes the highest cigarette and tobacco tax earnings to the total, amounting to almost $2 billion. The $1.98 billion revenue that taxes on cigarettes in CA have generated account for 10.41% of the country’s overall earnings. 

Revenue From Taxes on Cigarettes in Colorado

Colorado’s contribution to the country’s total revenues from cigarette and tobacco taxes is just 1%, or around $190.42 million. Still, when we compare cigarette tax by state, we can see that other states have lower contributions.

Revenue From Taxes on Cigarettes in Connecticut

Taxes on cigarettes in CT are currently the second highest In the US — $4.35 per pack. The state’s revenue is estimated at 1.88% of the country’s total, or equivalent to $320.53 million. 

Revenue From Taxes on Cigarettes in Delaware

Delaware is among the states that don’t impose sales tax on cigarettes and tobacco. The revenue from taxes on cigarettes in DE is approximately $122.61 million or 0.64% of the nation’s total revenues. 

Revenue From Taxes on Cigarettes in Dist. of Columbia

D.C. charges the highest cigarette tax by state, but has relatively low revenues of about $28.55 million or 0.15% of the total amount from all 50 states. 

Revenue From Taxes on Cigarettes in Florida

Florida is another state with cigarette tax revenues that reached $1 billion. With an estimated income of $1.14 billion from cigarette taxes, Florida contributed almost 6% of the total. Also, the state does not impose any excise tax on premium and little cigars.

Revenue From Taxes on Cigarettes in Georgia

Georgia has generated roughly $223.36 million in revenues from cigarette taxes. Cigarette tax revenue by state shows that this accounts for 1.17% of the total.

Revenue From Taxes on Cigarettes in Hawaii

Despite the high price of cigarettes, Hawaii’s contribution to the total cigarette tax revenues is just 0.59%, or approximately $111.80 million.

Revenue From Taxes on Cigarettes in Idaho

Idaho generated $50.30 million in revenues from cigarette and tobacco taxes or 0.26% of the total earnings nationwide.

Revenue From Taxes on Cigarettes in Illinois

The state of Illinois contributed almost $1 billion in cigarette tax revenues or approximately $920.87 million. That’s 4.84% of the total tax gains from cigarettes and tobacco in the US.

Revenue From Taxes on Cigarettes in Indiana

Data on cigarette tax by state shows that Indiana was able to generate an estimated amount of $405.31 million in revenues from cigarette and tobacco products, accounting for 2.13% of the country’s total. 

Revenue From Taxes on Cigarettes in Iowa

Iowa made 1.06% of the total revenues from cigarette and tobacco taxes in the country. This is about $202.02 million income.

Revenue From Taxes on Cigarettes in Kansas

With a contribution of 0.66% of America’s total cigarette tax earnings, Kansas made about $125.66 million from taxes on cigarettes and tobacco products. 

Revenue From Taxes on Cigarettes in Kentucky

Kentucky tax administration and smokers were quite busy. Tobacco tax by state analysis shows that Bluegrass State generated the second-highest cigarette tax revenues in the Southeast region, amounting to $369.50 million or 1.94% of the country’s total. The state is next to Florida, with over $1 billion in revenues.

Revenue From Taxes on Cigarettes in Louisiana

In Louisiana, the amount of tax revenues from cigarette and tobacco products reached $161.03 million, accounting for 0.85% of the combined revenues from the 50 states.

Revenue From Taxes on Cigarettes in Maine

Maine contributed 0.66% of the country’s total revenues from cigarettes and tobacco. Our cigarette tax revenue by state analysis shows that Maine’s revenue is a little higher than Kansas’s at $125.98 million.

Revenue From Taxes on Cigarettes in Maryland

Maryland may just be a small state in size, but when it comes to its tax revenues from cigarettes and tobacco products, it has surpassed many larger states. Contributing 1.88% to the total, Maryland’s revenue amounted to $356.68 million.

Revenue From Taxes on Cigarettes in Massachusetts

With an estimated income of $553.26 million from cigarette taxes, Massachusetts contributed about half of the total revenues the New England region. Nationwide, this amount accounts for 2.91%.

Revenue From Taxes on Cigarettes in Michigan

Michigan cigarette tax revenue reached $887.07 million. Tobacco tax by state analysis shows that this is about 4.67% of the national tax revenue.

Revenue From Taxes on Cigarettes in Minnesota

Cigarette taxes in Minnesota brought $626.53 into the budget — roughly 3.30% of all national cigarette tax revenue.

Revenue From Taxes on Cigarettes in Mississippi

With only $138.72 million, Mississippi smokers don’t contribute much to the national tax. Money collected there accounts for only 0.73% of the national revenue, which makes sense given the fairly low cigarette tax.

Revenue From Taxes on Cigarettes in Missouri

Missouri has the lowest cigarette tax by state. It’s hardly surprising then that Missouri’s cigarette tax revenue is $107.30 million, which is as little as 0.56% of the income on a national level.

Revenue From Taxes on Cigarettes in Montana

Cigarette taxes in Montana made only 0.41% of the national revenue. With $77.23 million, Montana is one of the minor contributors on the list, even though it’s the fourth-largest state in the US.

Revenue From Taxes on Cigarettes in Nebraska

Cigarette tax revenue by state reports show that Nebraska’s revenue comes in at $52.86 million, which is 0.28% of the national income. The state is known for its plains and rivers, and smoking somehow doesn’t fit into that picture.

Revenue From Taxes on Cigarettes in Nevada

Revenues from cigarette tax in Nevada reached $182.49 million, which is around 0.96% of the country’s total.

Revenue From Taxes on Cigarettes in New Hampshire

Tobacco product consumers from the Granite State brought $201.33 to the budget through cigarette tax revenue. This accounts for 1.06% of the national aggregate income.

Revenue From Taxes on Cigarettes in New Jersey

The Garden State managed to garner $632.40 million. This significant amount means that the New Jersey cigarette tax accounts for 3.33% of the country’s total.

Revenue From Taxes on Cigarettes in New Mexico

Cigar tax by state reports show that New Mexico has generated roughly $91.49 million in revenues, which account for 0.48% of the aggregate national revenue.

Revenue From Taxes on Cigarettes in New York

With around $1.1 billion, New York Cigarette tax revenue makes up around 5.79% of the national total.

Revenue From Taxes on Cigarettes in North Carolina

North Carolina cigarette tax revenue reached $292.84 million, which is around 1.54% of the total proceeds collected across the US.

Revenue From Taxes on Cigarettes in North Dakota

The ND tax administration collected just $27.38 million from cigarette taxes. This is, as cigarette tax revenue by state analysis show, just 0.14% of the national total accumulated cigarette sales taxes.

Revenue From Taxes on Cigarettes in Ohio

Ohio is one of the most significant contributors on our list. Namely, the Ohio cigarette tax came to $919.75 million — about 4.84% of the national revenue.

Revenue From Taxes on Cigarettes in Oklahoma

With $420.77 million in cigarette and tobacco tax revenues, the Sooner State generates 2.21% of the country’s total tobacco taxes.

Revenue From Taxes on Cigarettes in Oregon

Oregon’s tobacco and cigarette tax revenues reached $250.15 million, roughly 1.32% of the national total.

Revenue From Taxes on Cigarettes in Pennsylvania

According to cigarette tax rates by state data, Pennsylvania is among the states with cigarette tax revenues that reached over $1 billion. This is also the Mideast region state with the highest income contribution, estimated at $1.304 billion or 6.86% of the total.

Revenue From Taxes on Cigarettes in Rhode Island

The world’s sailing capital gathered $137.32 in tobacco and cigarette taxes, which makes up around 0.72% of the money accumulated on the national level.

Revenue From Taxes on Cigarettes in South Carolina

South Carolina has generated roughly $28.31 million in revenues from cigarette taxes. A closer look at cigarette sales tax by state shows that this accounts for 0.15% of the aggregate national revenue.

Revenue From Taxes on Cigarettes in South Dakota

With around $45.76 million, South Dakota cigarette tax revenue makes up around 0.24% of the national total.

Revenue From Taxes on Cigarettes in Tennessee

Tennessee collected $245.92 million in tobacco and cigarette tax revenues, roughly 1.29% of the national total. This places it somewhere in the middle of the Southeast region board.

Revenue From Taxes on Cigarettes in Texas

People in Texas mean business, whatever they do. The Texas tax administration collected $1.41 billion in cigarette and tobacco taxes, which makes up 7.42% of the total national amount. This is quite an achievement, considering the cigarette tax by state data shows Texas has low taxes and cigarette prices.

Revenue From Taxes on Cigarettes in Utah

Utah cigarette tax revenue reached $112.09 million, representing around 0.59% of the national tax revenue income.

Revenue From Taxes on Cigarettes in Vermont

Vermont has the smallest cigarette tax revenue in the New England region, contributing just about $68.43 million or 0.36% of the country’s total. 

Revenue From Taxes on Cigarettes in Virginia

Virginia cigarette tax income reached $213.18 million, representing around 1.12% of the national tax revenue. This places it at the bottom of the Southeast region’s cigarette tax by state table.

Revenue From Taxes on Cigarettes in Washington

With $397.05 million in cigarette and tobacco tax revenues, Washington State generates 2.09% of the country’s total tobacco taxes.

Revenue From Taxes on Cigarettes in West Virginia

In West Virginia, the state and local tobacco tax revenues amounted to $171.22 million, which accounts for 0.90% of the total revenue nationwide.

Revenue From Taxes on Cigarettes in Wisconsin

Wisconsin cigarette and tobacco tax income reached $599.74 million, representing around 3.15% of the national tax revenue.

Revenue From Taxes on Cigarettes in Wyoming

Wyoming has the lowest cigarette tax revenue amounting to $21.74 million or only 0.11% of the country’s overall income from cigarette excise taxes.

Cigarette Tax Increase By State

Cigarette and tobacco taxes significantly contribute to local, state, and federal budgets. Increasing cigarette taxes will not create a significant public discontent so the governments are much more inclined to raise them when they need additional funds. 

Sadly, as smoking is one of the leading causes of illnesses and death, part of the income goes to mend at least some of the damages it causes. Namely, a portion of the revenue from state and federal tobacco tax goes to healthcare and public services. 

However, some states don’t raise cigarette taxes often. Let’s take a closer look.

Alabama

The last time the AL cigarette tax was increased was in 2015 — by $0.25 cents. The total is now $0.68.

Alaska

Alaska had three consecutive increases in 2005, 2006, and 2007. The first was $0.60, while the others were $0.20 each. However, since then, there have been no changes, and the AK cigarette tax stands at $2.

Arizona

Arizona has had two cigarette tax increases in the past two decades, $0.60 in 2002 and $0.82 cents in 2006. The current AZ cigarette tax of $2 hasn’t been changed since.

Arkansas

The last cigarette tax increase in Arkansas happened in 2009. The $0.52-increase drove the total AR cigarette tax to $1.15. This is much lower than the federal tobacco tax.

California

For a state with the highest average gas prices in the US (because of the high taxes), the California administration is surprisingly inactive regarding increasing the tax on cigarettes.

It increased the cigarette tax just once in the past two decades, but by a significant amount. This one-time increase was $2, taking the total CA cigarette tax to $2.87 per pack.

Colorado

Smokers in Colorado welcomed 2021 with new cigarette prices, thanks to the tax increase of $1.10 that came into force on January 1, 2021. Luckily, Colorado has one of the best job markets in the US, so smokers there can afford the new prices.

Before that, the taxes on cigarettes in CO had remained unchanged for 15 years and were last increased in 2005 by $0.64. Currently, the total tax is $1.94. 

Connecticut

Connecticut has one of the highest cigarette tax rates by state — $4.35 per 20-cigarette pack. This is hardly surprising since the state increased them eight times since 2020. The last increase of taxes on cigarettes in CT happened in 2017, and it was $0.45.

Delaware

Delaware has increased cigarette taxes four times in the past 20 years, the last time in 2017. The $0.50-increase took the total taxes on cigarettes in DE to $2.10.

District of Columbia

The last cigarette tax increase in D.C. occurred in 2018, by $2. Before that, it had increased in 2009, 2008, and 2003 ($0.50, $1, and $0.30).

Florida

The latest cigarette tax increase there was in 2009. The one-dollar increase led to a total of $1.34.

Georgia

Georgia has one of the lowest cigarette taxes – just $0.37 per 20-cigarette pack. The last cigarette tax increase by state law was in 2003, just $0.25. 

Hawaii

This state had almost one increase per year in the period 2000 to 2010. The last increase on taxes on cigarettes in HI was in 2011 — $0.20. The tax hasn’t changed since, and still stands at $3.20 per pack.

Idaho

Taxes on cigarettes in ID haven’t changed since 2003 when the $0.29-increase took the total tax to $0.57.

Illinois

Illinois’s latest cigarette tax increase was in 2019 when the one-dollar increase took the total tax to $2.98. Before that, it had increased twice, in 2002 and 2012.

Indiana

Taxes on cigarettes in IN hover around $1 per pack. The last cigarette tax increase by state law happened in 2007, at $0.44. Before that, the tax had climbed in 2003 by $0.40.

Iowa

The only increase in Iowa tobacco tax in the past 20 years happened in 2007. The tax was increased by $1, taking the total to $1.36 per pack.

Kansas

The authorities have increased the Kansas cigarette tax twice since 2000. The latest increase was in 2015, when a $0.50-increase took the total state taxes to $1.29 per pack.

Kentucky

Tobacco tax by state data reveal that the latest cigarette tax increase in Kentucky was in 2018, — $0.50. Before that, the taxes on cigarettes in KY had gone up twice, in 2009 and 2005 ($0.30 and $0.27, respectively). The tax is still relatively low, standing at $1.10.

Louisiana

Louisiana has raised cigarette taxes four times in the past 20 years, all by minimal amounts. The latest increase was in 2016, by $0.22. Before that, the increases happened in 2000 ($0.04), 2002 ($0.23), and 2015 ($0.50). The current taxes on cigarettes in LA are $1.08.

Maine

Maine’s last cigarette tax increase by state happened in 2003, when the one-dollar rise took the total state tax to $2. Before that, the tax had been increased by $0.26 in 2001.

Maryland

Taxes on cigarettes in MD are some of the highest int he US, thanks to relatively significant and frequent increases. Namely, the last one happened as recently as 2021. The $1.75 rise resulted in a total state tax of $3.75.

Massachusetts

Massachusetts authorities increased the tax rate three times in the past two decades. The latest increase was $1 in 2013, which took the state tariff to $3.51 per pack. The 2008 rise was also $1, while the 2002 increase was $0.75.

Michigan

The last time smokers in Michigan were unpleasantly surprised by increased state taxes on cigarettes was in 2004, when the $0.75-increase led to a total state tax of $2. The tobacco tax by state data shows it hasn’t changed since.

Minnesota

Increases of taxes on cigarettes in MN are frequent but small. The last one was in 2017 by just $0.04. The increases before that were $0.10 in 2016 and $0.07 in 2015. The current tax stands at $3.04 per pack.

Mississippi

Mississippi has had just one cigarette tax increase in the past 20 years. The authorities deemed that a $0.50 bump was sufficient. The $0.68 per pack MS tobacco tax that came into force in 2009 is still valid today.

Montana

The Tressure State has a relatively low cigarette tax — $1.7 per pack. The latest cigarette tax increase in Montana was in 2005, a dollar. Before that, it had climbed by $0.52 in 2003.

Nebraska

Our cigarette tax by state comparison shows that Nebraskans have one of the lowest taxes in the country — just $0.64. The last time taxes on cigarettes in NE were increased was two decades ago — in 2002. They went up by $0.30.

Nevada

The latest Nevada cigarette tax increase was in 2015. The one-dollar climb took the total state tax to $1.80. That was the first increase of taxes on cigarettes in Nevada in over a decade, as the last one occurred in 2003 ($0.45).

New Hampshire

The Granite State has a relatively low cigarette tax ($1.78), despite frequent increases in the early 2000s. However, since then, the frequency has dropped — the last New Hampshire cigarette tax increase happened in 2013 ($0.10).

New Jersey

The Garden State residents are no strangers to cigarette tax increases — data on cigarette tax increase by state shows that they saw them five times from 2000 to 2009. However, the tobacco taxes in New Jersey haven’t changed since. In 2009, the authorities concluded that a $0.13 tax hike was enough, which resulted in a state total of $2.70.

New Mexico

The most recent cigarette tax increase in New Mexico was $0.34 in 2019. It bumped the state tax to $2.00. Before that, New Mexico tobacco tax had been increased on two occasions — 2003 and 2010 ($0.75 and $0.70, respectively).

New York

New York has the highest taxation burden on individual income in the US (4.81%). But that’s not the only thing New Yorkers have to complain about. Big Apple residents probably dread news about cigarette tax increases, as they are often substantial.

Tobacco tax by state data shows that the last one occurred in 2010. The $1.6 increase bumped taxes on cigarettes in NY to $4.35, which is still valid today. The one before that was by $1.25 in 2008.

North Carolina

North Carolina’s cigarette tax increases in the past 20 years have been rare and minimal. The last one occurred in 2009 ($0.10). Before that, the tax rise happened in 2006 and 2005 ($0.05 and $0.25 respectively). The NC cigarette tax now stands at $0.45.

Ohio

The last time Ohio raised the cigarette tax was in 2015. The $0.35-increase bumped the tax to $1.60 per pack. According to the cigar tax by state reports, there were two increases before — in 2002 and 2005.

Oklahoma

The Sooner State authorities are not rushing to increase smokers’ burdens. Taxes on cigarettes in OK have had two increases since 2000. The first was in 2005 ($0.80), and the last was in 2018 ($1), taking the total to $2.03 per pack.

Oregon

Oregon tax increases are relatively frequent — six have happened since 2000. The latest was in 2021, and it was quite substantial — $2. It bumped the total state tax to $3.33.

Pennsylvania

Data available on the cigarette excise tax by state shows that the last time Pennsylvania authorities decided to raise the taxes was in 2016. Thanks to a one-dollar cigarette tax increase, the total taxes on cigarettes in PA went to $2.60 per pack, which is the current amount. Previous increases occurred in 2002, 2004, and 2009 ($0.69, $0.35, and $0.25).

Rhode Island

The “Little Rhody” has one of the highest tobacco taxes in the US, thanks to eight tax increases since 2000. The last one was in 2017 ($0.50), bumping the total tax to $4.25. This makes the small state one of the leaders on the board.

South Carolina

South Carolina has had just one increase since 2000. 2010 saw the tax rise $0.50, and the total tax settled at $0.57. So, up until then, it was just $0.07 per pack, probably the lowest cigarette tax by state.

South Dakota

The last cigarette tax increase in South Dakota was in 2007 when it was increased by a whole dollar. Previously, it was raised in 2003, just by $0.20. The SD cigarette tax is now $1.53.

Tennessee

The Volunteer State doesn’t like high cigarette taxes. The last cigarette tax increase in Tennessee happened in 2007. The $0.42 increase resulted in the end tax of just $0.62, one of the lowest in the US. The previous increase was in 2002, and it was just $0.08.

Texas

The cigarette taxes in Lone Star State have remained relatively still in the past two decades, with just one rise. The last cigarette increase of taxes on cigarettes in Texas was in 2007, and it was a full dollar, taking the state toll to $1.41 per pack. The amount state is charging is still less than the federal tax on cigarettes.

Utah

The last cigarette tax increase in Utah was in 2010 — $1.05. Previously it happened in 2002, just $0.18. The total state tax is now $0.70 cents.

Vermont

Vermont administration has been keeping itself pretty busy when it comes to increasing cigarette taxes. Namely, even though the last increase was a relatively long time ago (2015, $0.33), there were seven VT tobacco tax increases in the 2000-2014 period. Luckily, the increases were relatively low ($0.13 to $0.48), and the total tax now sits at $3.08.

Virginia

Virginia has a very low cigarette tax, just $0.60 per pack. The last tax increase happened in 2020, and it was $0.30. Virginia is one of the cheapest states when we consider the tax on a pack of cigarettes by state. 

Washington

The last Washington cigarette tax increase happened in 2010, and it was $1. Before that, tax bumps occurred in 2002 and 2005, by $0.60 each time.

West Virginia

The cigarette tax increase in West Virginia is not that common. Since 2000, the tax was raised only twice, in 2016 and 2003. The first increase was $0.38, and the last was $0.65.

Wisconsin

The last time taxes on cigarettes in WI went up was in 2009, when they were increased by $0.75. Previously, it was raised in 2008 and 2001 (by $1 and $0.18, respectively).

Wyoming

The last cigarette tax increase in Wyoming happened almost two decades ago — in 2003. It was raised by $0.48 and reached $0.60. Taxes on cigarettes in WI haven’t changed since.

Chewing Tobacco Tax by State

Chewing tobacco is a type of smokeless tobacco that’s been gaining popularity, especially among young smokers, due to its generally lower prices than cigarettes. There is a fear that the number of smokers who quit smoking because of the high taxes is diminished by the increasing number of chewing tobacco consumers. Some states try to tackle this trend by raising tobacco taxes.

Chewing tobacco is subject to federal and state taxes. While the federal tobacco tax is universal, at $0.5033 per lb, state taxes differ significantly. The difference in state taxes is responsible for the disparity in prices across the country.

Alabama tobacco tax$0.015 per oz
Alaska tomacco tax75% of the manufacturer’s wholesale price
Arizona tobacco tax$0.223 per oz
Arkansas tobacco tax68% of the manufacturer’s wholesale price
California tobacco tax61.74% of the manufacturers’ wholesale price
Colorado tobacco tax50% of the manufacturer’s wholesale price
Connecticut tobacco tax50% of the wholesale sales price
Delaware tobacco tax30% of the manufacturer’s wholesale price
Dist. of Columbia tobacco tax79% of the wholesale sales price
Florida tobacco tax85% of the manufacturer’s wholesale price
Georgia tobacco tax10% of the selling price
Hawaii tobacco tax70% of the wholesale sales wholesale price
Idaho tobacco tax40% of the manufacturer’s wholesale price
Illinois tobacco tax 36% of the manufacturer’s wholesale price
Indiana tobacco tax24% of the manufacturer’s wholesale price
Kansas tobacco tax10% of the manufacturer’s wholesale price
Kentucky tobacco tax$0.19 – $0.65 per unit
Louisiana tobacco tax20% of the manufacturer’s wholesale price
Maine tobacco tax$2.02 per oz or package
Maryland tobacco tax53% of the manufacturer’s wholesale price
Massachusetts tobacco tax210% of the manufacturer’s wholesale price
Michigan tobacco tax32% of the manufacturer’s wholesale price
Minnesota tobacco tax95% of the manufacturer’s wholesale price
Mississippi tobacco tax15% of the manufacturer’s wholesale price
Missouri tobacco tax10% of the manufacturer’s wholesale price
Montana tobacco tax50% of the manufacturer’s wholesale price
Nebraska tobacco tax20% of the manufacturers’ wholesale price
Nevada tobacco tax30% of the manufacturers’ wholesale price
New Hampshire tobacco tax65.03% of the manufacturer’s wholesale price
New Jersey tobacco tax30% of the manufacturer’s wholesale price
New Mexico tobacco tax25% of the manufacturer’s wholesale price
New York tobacco tax75% of the manufacturer’s wholesale price
North Carolina tobacco tax12.8% of the manufacturer’s wholesale price
North Dakota tobacco tax$0.16 per ounce
Ohio tobacco tax17% of the manufacturer’s wholesale price
Oklahoma tobacco tax60% of the manufacturer’s wholesale price
Oregon tobacco tax65% of the manufacturer’s wholesale price
Pennsylvania tobacco tax$0.55 – $0.66 per ounce
Rhode Island tobacco tax80% of the manufacturer’s wholesale price
South Carolina tobacco tax5% of the manufacturer’s wholesale price
South Dakota tobacco tax35% of the manufacturers’ wholesale price
Tennessee tobacco tax6.6% of the manufacturers’ wholesale price
Texas tobacco tax$1.22 per ounce
Utah tobacco tax86% of the manufacturers’ wholesale price
Vermont tobacco tax$3.08 per package or $2.57 per oz
Virginia tobacco tax$0.42 – $1.40 per unit
Washington tobacco tax95% of the manufacturer’s wholesale price
West Virginia tobacco tax12% of the manufacturers’ wholesale price
Wisconsin tobacco tax71% of the manufacturers’ wholesale price
Wyoming tobacco tax20% of the manufacturers’ wholesale price

FAQs

Why is there an excise tax on cigarettes?

Tobacco use is one of the leading causes of preventable deaths globally. Governments believe that high taxes act as effective smoking prevention. Another reason is contributing to the healthcare budgets to cover increased expenses of treating smoking-induced illnesses.

Where does cigarette tax go?

The federal tobacco tax income is used to help fund programs that support adults and children. One of those programs is Children’s Health Insurance Program (CHIP). States and local authorities can choose how they use the funds, and they mostly follow the federal guidelines, funding socially-beneficial programs.

What are cigarette tax stamps?

Cigarette tax stamps prove that the licensed vendor (wholesaler, distributor, manufacturer) has paid the tax. They essentially prove that tobacco products can enter the market.

Does cigarette tax cover health costs?

The experts estimate that smoking costs the country more than $300 billion annually. This includes $170 billion spent on direct medical care and over $156 billion in lost productivity. The income from all tobacco taxes collected in the US is far less.

Is cigarette tax federal or state?

Tobacco is taxed by federal, state, and local authorities in the US. The current federal cigarette tax is $1.91 per pack, while the state taxes range from $0.17 for a pack in Missouri to $5.01per pack in D.C., which has the biggest cigarette tax by state.

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