North Dakota Rejects Tobacco Tax Increase

At around 10 p.m. local time, it became known that voters in North Dakota rejected a proposed tobacco tax increase that could have doubled the tax on cigars.

Known as North Dakota Measure 4, the ballot initiative would have increased the tax on cigarettes from 44 cents per pack to $2.20, as well as double the tax on all other tobacco products from 28 to 56 percent.

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This could have meant a cigar with a suggested retail price (MSRP) of $10.50 would have cost $14.82 before any sales tax in the state. The 28 percent wholesale price means a $10.50 MSRP cigar likely costs around $12.16 before any sales tax.

The ballot measure was sponsored by Raise It For Health ND after a pair of tobacco tax bills failed to pass the legislature.