Delaware Bill Seeks to Double Cigar Tax

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A bill to double the tax on cigars, as well as increase the tax on other tobacco products, has been introduced into the Delaware legislature.

H.B. 242, which is sponsored by Rep. Peter C. Schwartzkopf, D-14, seeks to raise the tax on all tobacco products other than vapor products, moist snuff, and cigarettes from 15% of the wholesale price to 30% of the wholesale price.

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For a cigar with an MSRP of $9.50, that means the cost at the register would go from $10.93 to $12.35 by halfwheel estimates, and before any additional sales taxes are added.

Additionally, the bill seeks to increase the tax on cigarettes from $1.60 to $2.10 per 20 cigarette pack, impose a tax of five cents per fluid millimeter of vapor product, and increase the tax on moist snuff from 54 cents per ounce to 92 cents per ounce.

The bill also increases the fees charged for retail tobacco product licenses from $5 to $50, and tobacco product vending machine licenses from $3 to $15.

The bill has been referred to the House Revenue & Finance committee, where it is scheduled for a hearing within the next 12 legislative days.

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Patrick Lagreid
About the author

I strive to capture the essence of a cigar and the people behind them in my work – every cigar you light up is the culmination of the work of countless people and often represents generations of struggle and stories. For me, it’s about so much more than the cigar – it’s about the story behind it, the experience of enjoying the work of artisans and the way that a good cigar can bring people together. In addition to my work with halfwheel, I’m the public address announcer for the Colorado Rockies and Arizona Diamondbacks during spring training, as well as for the Salt River Rafters of the Arizona Fall League, the WNBA's Phoenix Mercury and the Arizona Rattlers of the Indoor Football League. I also work in a number of roles for MLB.com, plus I'm a voice over artist. I previously covered the Phoenix and national cigar scene for Examiner.com, and was an editor for Cigar Snob magazine.

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