Increasing the tax on cigarettes and vapor products

Progress

1. Introduced
   February 23, 2026
2. Subcommittee
   —
3. Committee
   —
4. Passed House
   —
5. Passed Senate
   —
6. Signed
   —

Died at end of session The General Assembly adjourned on May 3, 2026. Bills that didn’t pass both chambers died. What’s a funnel?

What’s in it

This bill increases the tax on cigarettes and vapor products. DIVISION I —— CIGARETTE AND VAPOR PRODUCT TAXATION.3 cents per cigarette.86. The bill also raises the tax on loose tobacco products inserted into a vending machine from which assembled cigarettes are dispensed.43 cents.43(1)(b) for a combined rate of percent. The bill applies this combined percent wholesale tax rate to the wholesale sales price on vapor products. Vapor products remain subject to sales and use taxes. By increasing the cigarette tax in the bill, the inventory tax is also assessed on cigarettes remaining in inventories taxed under the previous tax rate that is equal to the difference between the previous tax rate and the new tax rate.

From the explanation printed with the bill as introduced, written by the Legislative Services Agency. Amendments adopted later aren’t reflected. Full bill text