States weigh tobacco and nicotine tax hikes
March 10, 2026 by cspdailynews.com
States weigh tobacco and nicotine tax hikes
States are considering excise tax increases on tobacco products to generate revenue, with a focus on new products like nicotine pouches. Lawmakers in 20 states are proposing higher taxes on cigarettes and vaping products to address budget shortfalls. Critics argue that such taxes can lead to illegal tobacco sales and economic distortions. Data shows a decline in youth tobacco and nicotine usage, supporting the argument against new taxes. The regressive nature of excise taxes is highlighted, with lower-income individuals affected more. As states continue to deliberate on tax hikes, there are concerns about the impact on retailers and the availability of FDA-approved alternatives for adult consumers.
14.10% of the adult population are current smokers. There are approximately 39.8 million current smokers in United States 17.10% of men are current smokers but only 11.10% of women.
SOURCE: GSTHR