States

California:
 
Campaign launched to increase California’s tobacco tax by $1.50
A newly formed coalition of California’s major health and children's advocacy groups has launched a campaign to pass a $1.50 increase in the state's cigarette tax on the November 2006 ballot. Proceeds from the Tobacco Tax, Disease Prevention and Children's Health Insurance Act would be directed to strengthen and expand existing tobacco prevention efforts, disease prevention, treatment and research programs, and would also provide funding so that every child in California can receive affordable health care insurance. Click for more information.

Kentucky:
 
Higher taxes deter smokers in Kentucky
Increased cigarette taxes in Kentucky have reduced the sale of cigarettes in the state, with a 10% drop over the summer. Click for more information.

Maine:
 
Maine cigarette tax increased from $1 to $2 per pack
State officials in Maine hope to raise $70 million annually in new tax revenue as a result of the increase of the tobacco tax from $1 to $2. According to the Bureau of Statistics, 23.8% of adults and 20.5% of high school students in Maine smoke. Health experts expect the percentage of smokers to decrease even further with the tax increase. The state quitline has received a record number of calls following the implementation of the new tax. Click for more information.

Maryland:
 
Health advocates in Maryland push for state tobacco tax increase
Health advocates in Maryland are promoting a $1 increase in the state tobacco tax to be use for tobacco use prevention and expand health care access for low-income families. The increase would bring in an additional $150 million per year, according to the Maryland Health Care for All Coalition. The executive director of the coalition believes that a number of smokers might quit as a result of the price increase per pack. As an example, between the years 2000 and 2002, when the cigarette tax was raised from $0.66 to $1, smoking declined 30 percent among high school students and 9 percent among adults, according to an official of Smoke Free Maryland. The governor of Maryland is against the tax increase, believing that it would drive smokers to neighboring states to buy cigarettes. Click for more information.

Minnesota:
 
Philip Morris USA Challenges Minnesota Cigarette Fee
Philip Morris USA has filed a motion challenging the Minnesota health impact fee, which took effect on August 1st, claiming that it violates the Minnesota Settlement Agreement. In 1998, Philip Morris and the other participating manufacturers agreed to pay the state billions of dollars in the form of annual payments in perpetuity in exchange for a release of all past, present, and future liability. Several distributors of PM USA's products have joined in the motion. Click for more information.

Missouri:
 
Missouri coalition hopes to raise state’s cigarette tax
A coalition led by the American Lung Association of Missouri is spearheading an effort to raise the state's cigarette tax by $0.80/pack. The coalition, called The Committee for a Healthy Future, wants to place the tax increase on the November 2006 election ballot to fund smoking prevention and health care programs. Missouri's current cigarette tax rate of $0.17/pack is the second lowest in the nation (after South Carolina, which is $0.07/pack). At the same time, Missouri has one of the highest smoking rates in the country. Click for more information.

North Carolina:
 
North Carolina cigarette tax increase goes into effect
On September 1st, a $0.25 cigarette tax increase went into effect in North Carolina, bringing its cigarette tax to $0.30 per pack. This ends North Carolina’s status as the state with the lowest cigarette tax. The cigarette tax is scheduled to increase by an additional $0.05 to $0.35 per pack on July 1, 2006. Click for more information.

Oklahoma:
 
Oklahoma state treasurer suggests sanctions for tribal smoke shops violating state laws
Oklahoma state treasurer Scott Meachem has stated that tribal smoke shops violating state law or compacts should not be allowed to sell lottery tickets until they are in compliance. Recent tobacco wholesale tax collections at nontribal retail stores were $1.6 million below estimates. Tribal stores appear to be buying cigarettes bearing an "exception" tax stamp that costs $0.06/pack, then reselling them in the Tulsa market, gaining $0.97/-pack. Click for more information. (Registration required)

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