A proposal by Gov. Sam Brownback to raise taxes on cigars, cigarettes, other tobacco products and alcohol has failed.
The Kansas Senate rejected the Republican governor’s proposal, favoring instead a Democratic proposal that would adjust tax rates for certain residents and closing an exemption for businesses registered as an LLC.
Kansas taxes cigars and other tobacco products at 10 percent, and Brownback’s proposal would have doubled that to 20 percent of the wholesale price. For a cigar with an MSRP of $9.50 currently retails for around $10.45 at the register, that would have increased to around $11.40 according to halfwheel estimates.