Legislation introduced into the Oregon legislature could result in cities, counties and towns in the Beaver State being able to impose their own taxes on tobacco in addition to what the state already levies.
Currently, the state’s tax rate on cigars and tobacco products besides cigarettes and moist snuff sits at 65% of the wholesale price, with a cap of $0.50 per cigar. Moist snuff is taxed at $1.78 per ounce, except that the minimum tax per retail container is $2.14, while cigarettes are taxed at $1.31 per pack of 20.
Senate Bill 14, filed by Sen. Rod Monroe, removes the state’s prohibition on municipalities imposing additional taxes to cigarettes or other tobacco products. Similar bills have been filed in the House of Representatives, HB 2160 and HB 2162.
All three bills are currently awaiting assignment to a committee. Should the legislation pass, it will go into effect 90 days after the legislature adjourns its 2015 session.