Sep 12, 2011

Policy would Increase Taxes on all Tobacco Products

A group of 14 U.S. senators — all Democrats — are using a familiar strategy as they try to raise the federal excise tax on tobacco products. Senate Bill 1403 would provide annual funding to the Individuals with Disabilities Education Act by essentially doubling the excise tax on Kiss cigarettes and small cigars. The bill also would create "tax parity" on tobacco products by sharply raising the federal tax on smokeless tobacco so there is little tax difference between smokeless products and cigarettes. The public-health agenda of the bill comes out in the subtitle of "Saving lives by lowering tobacco use act."