Tobacco Laws Smoldering in Background of 2020 Election
Tuesday, December 1, 2020
The 2020 general election has come and gone. And voters in at least two states have approved legislation – by similar margins – to increase taxes on tobacco and nicotine products.
In the recent election, nearly 70 percent of registered Colorado voters voted in favor of Proposition EE. Formulated along a tapered schedule, the proposition includes the following details. Review local newspaper, The Denver Post’s article, “What’s Colorado Proposition EE: Tobacco and nicotine taxes for complete information,” for complete information.
- Increase cigarette taxes to $1.94 per pack beginning Jan. 1, 2021; $2.24 per pack on July 1, 2024 and $2.64 per pack on July 1, 2027.
- Increase cigars, pipe tobacco and smokeless tobacco taxes to 50 percent on Jan. 1, 2021; 56 percent on July 1, 2024 percent and 62 percent on July 1, 2027.
- Establish a new tax on nicotine vapor products of 30 percent on the manufacturer’s list price as of Jan. 1, 2021; 35 percent as of Jan. 1, 2022; 50 percent as of Jan. 1, 2023; 56 percent as of July 1, 2024 and 62 percent as of July 1, 2027.
In a 66/34 split, Oregon voters approved an increase to tobacco sales taxes and established a new tax on nicotine vapor products. Specific numbers are included below. The estimated $130 million revenue generated under Measure 108 is dedicated to the Oregon Health Plan smoking prevention and cessation programs. For complete information, review the Seattle Times’ recent article, “Oregon voters approve ‘magic’ mushrooms for therapeutic use.”
- Increase cigarette tax from $1.33 per pack to $3.33 per pack (a $2-per-pack increase).
- Establish a new tax on nicotine vapor products at 65 percent of the wholesale sales price.
If your store, restaurant or bar is faced with upholding newly minted legislation, don’t allow yourself to feel overwhelmed. When you partner with The BARS Program, we’ll keep you aware of legislation changes help you to avoid unnecessary damage caused by late or inaccurate adoption of local, state and national regulations. Contact The BARS Program at 1-877-540-5500, or visit www.barsprogram.com for more information.