Kansas Governor Formally Introdudes Tobacco Tax Increase
Earlier this year, Kansas Governor Sam Brownback (R) indicated that as part of his effort to lower state income taxes to zero, he would likely increase consumption taxes on tobacco products on liquor. Now, that proposal has been formally introduced.
Brownback’s 377-page budget for FY2016 recommend an increase in the taxes on tobacco products from 10 percent to 25 percent of the wholesale price of other tobacco products, including cigars. Currently, a cigar with a suggested retail price of $9.50 likely retails for around $10.45, if the taxes were to increase, the new price would likely be around $11.88.
In addition, Brownback’s budget proposal would increase taxes on cigarettes from 79 cents per pack to $2.29 per pack, while liquor taxes would increase from 8 percent to 12 percent.
Brownback estimates that these three tax increases would generate an additional $107.9 million in tax revenue for 2016 and an additional $104.1 million in 2017.
For a complete list of cigar taxes by state, click here.
Charlie Minato
I am an editor and co-founder of halfwheel.com/Rueda Media, LLC. I previously co-founded and published TheCigarFeed, one of the two predecessors of halfwheel. I have written about the cigar industry for more than a decade, covering everything from product launches to regulation to M&A. In addition, I handle a lot of the behind-the-scenes stuff here at halfwheel. I enjoy playing tennis, watching boxing, falling asleep to the Le Mans 24, wearing sweatshirts year-round and eating gyros. echte liebe.
Related Posts
-
February 15, 2017 -
January 16, 2015
