Cigarette Taxes
The nation's first federal cigarette tax was enacted in 1864 as a Civil War revenue measure. In 2005 the federal cigarette tax stood at 37 cents per pack. The nation's first state-level cigarette excise tax was enacted in Iowa in 1921. By 1969 all 50 U.S. states had followed suit. In 2005 state-level cigarette taxes ranged from 7 cents per pack in South Carolina to $2.46 per pack in Rhode Island. The wide variety of state cigarette excise taxes provides opportunities for consumers to shop for bargains across borders—and for smugglers to make substantial profits.
Additional questions about cigarette taxes? Contact us at (202) 464-6200.
Related Blog Entries
- Florida Cigarette Sales Plunge Since Tax Hike, by Joseph Henchman, November 17, 2009
- Philadelphia Sales Tax Increases Tomorrow; State Debates Expanding the Sales Tax Base, by Mark Robyn, October 7, 2009
- Illinois May Tax Cigarettes to Pay for Higher Education, by Mark Robyn, September 21, 2009
- Revenue Rolls Out of the State, by Kail Padgitt, August 26, 2009
- Cigarette Smuggling on the Rise , by Kail Padgitt, July 20, 2009
- Cigarette Taxes Aren't This High (Yet), by Gerald Prante, July 16, 2009
- More Updated State Tax Rate Tables: Sales, Excise, and Corporate Income Taxes, by Mark Robyn, July 16, 2009
- New Hampshire’s New Taxes Bad for Businesses and Poor , by Micah Cohen, July 2, 2009
- New Jersey New Budget Relies On Several Tax Increases, by Mark Robyn, June 26, 2009
- Cigar Manufacture Blames Tax for Plant Shutdown, by Joseph Henchman, June 25, 2009
- San Francisco Mayor Proposes Cigarette Tax for Street Cleaning, by Joseph Henchman, June 17, 2009
- Gov. Crist Spouting Nonsense on Cigarette Tax Issue, by Gerald Prante, June 3, 2009
- New Podcast: Jamie Story of the Grassroot Institute of Hawaii - Tax Hikes in the Aloha State, by Matt Moon, June 3, 2009
- Hawaii Legislature Rushes Tax Bill Through, Accidentally Enacting a Tobacco Tax Cut, by William Ahern, May 13, 2009
- Hawaii's New Top Rate of 11% on Income Over $200,000 is Highest State Rate in U.S., by TF Staff, May 12, 2009
- Nanny Tax Rap, by Matt Moon, May 7, 2009
- And the [News] Beat Goes On: Another Sampling of Media Coverage From a Busy Tax Week, by Matt Moon, April 16, 2009
- Arkansas Reduces Its Cigarette Tax On Its Borders, by Mark Robyn, April 10, 2009
- Today's Federal Tobacco Tax Hike Will Drain State Coffers, by William Ahern, April 1, 2009
- Federal Cigarette Tax Hike Takes Effect, by Joseph Henchman, March 30, 2009
- Rhode Island Governor’s Tax Proposals Would Improve State’s Business Tax Climate, by Josh Barro, March 26, 2009
- South Carolina Considers Hefty Cigarette Tax Hike, by Joseph Henchman, March 24, 2009
- Utah State Rep. Who Floated "Caffeine Tax" Idea Says He Was Joking, by Josh Barro, March 13, 2009
- Washington State Poll Respondents Prefer Sin Taxes and “Temporary” Tax Increases, by Alicia Hansen, March 10, 2009
- Kentucky House Approves Increase in Cigarette and Liquor Taxes, by Joseph Henchman, February 12, 2009
- Cigarette Taxes: It's All About the Revenue, by Joseph Henchman, February 7, 2009
- Federal Cigarette Tax Increase Signed Into Law; Raises Taxes on Families Earning Under $250,000, by Joseph Henchman, February 5, 2009
- 2009 State Sales, Gasoline, Cigarette, and Alcohol Tax Rates, by Mark Robyn, January 29, 2009
- Sen. Webb Points Out Fallacy of Tobacco Tax Reliance -- He Should Go Further, by William Ahern, January 28, 2009
- Cigarette Tax Map, by Joseph Henchman, January 27, 2009
- Tax Foundation in Last Week's Editorial Pages ... and the Best of the Blogosphere, by Matt Moon, January 26, 2009
- Funding S-CHIP with Federal Cigarette Tax Increase is Poor Tax Policy, by TF Staff, January 15, 2009
- South Carolina Governor Proposes Tax Reform in State of the State Speech, by Joseph Henchman, January 15, 2009
- Maryland's Doubled Cigarette Tax Brings in Just 50% More Revenue, by Joseph Henchman, January 14, 2009
- Rhode Island Governor Proposes Cigarette Tax Hike, by Joseph Henchman, January 12, 2009
- Podcast: Phil Kerpen of Americans for Prosperity - SCHIP and Potential Federal Cigarette Tax Hike, by Matt Moon, January 7, 2009
- TF Cigarette Tax Study Cited in Washington Times Op-Ed on SCHIP, by Matt Moon, January 2, 2009
- Seneca Object to New York Cigarette Tax Law, by Joseph Henchman, December 18, 2008
- Kentucky, South Carolina, Virginia Propose Higher Cigarette Taxes, by Joseph Henchman, December 17, 2008
- New York Governor Signs Law to Tax Cigarettes Sold on Tribal Lands, by Joseph Henchman, December 16, 2008
- Tax Foundation Chief Economist in Today's Orlando Sentinel on Florida Cigarette Taxes, by Matt Moon, December 11, 2008
- Sanford Proposes to Vastly Improve South Carolina's Business Tax Climate, by Josh Barro, December 9, 2008
- Florida Rep. Trying to Call Cigarette Tax a "Fee", by Joseph Henchman, December 2, 2008
- After Two Weeks of Uncertainty, New Hampshire Cigarette Tax Goes Up 25 Cents, by Joseph Henchman, October 16, 2008
- Mississippi: Regressive is Regressive is Regressive, by Bob Schmidt, August 29, 2008
- The Booming Cigarette Black Market, by Joseph Henchman, August 12, 2008
- South Carolina Governor Vetoes Cigarette Tax Increase, by Joseph Henchman and Sarah Larson, June 3, 2008
- How to Increase Teacher Pay - Raise Cigarette Taxes Of Course, by Gerald Prante, May 13, 2008
- Tax Foundation Cigarette Tax Op-Ed in Wall Street Journal, by TF Staff, May 7, 2008
- Cigarette Taxes and Smuggling in Massachusetts, by Joseph Henchman, April 28, 2008
- New York's Gutless Politicians: Let's Raise Cigarette Tax Just to Raise Revenue, by Gerald Prante, March 31, 2008
- Addicted to Cigarette Taxes, by Patrick Fleenor, March 6, 2008
- More Evidence of Cigarette Tax Hikes? Negative Consequences, by Alicia Hansen, February 7, 2008
- New Study Shows Smokers and Obese Actually Save Government on Health Care Costs, by Gerald Prante, February 5, 2008
- Pennsylvania State Senator Seeks Porn Tax, by Gerald Prante, January 7, 2008
- Attention Maryland Smokers: Buy Your Cigarettes Before Midnight, by Gerald Prante and Joseph Henchman, December 31, 2007
- South Carolina Governor Proposes Optional Flat Tax, Cigarette Tax Hike, by Joseph Henchman, December 21, 2007
- Raising Cigarette Taxes Just to Raise Revenue, by Gerald Prante, December 20, 2007
- Do Opponents of S-CHIP Expansion Hate Children?, by Alicia Hansen, December 18, 2007
- What is a Cigarette? (Or, Why Is The Tax Code So Complex?), by Joseph Henchman, December 7, 2007
- Tobacco Taxes in 1884, by Alicia Hansen, November 14, 2007
- California May Hike Cigarette Tax by $2 to Increase Healthcare Spending, by Gerald Prante, November 6, 2007
- CBPP Puts Out Misleading Information on Poor and Cigarette Taxes, by TF Staff, October 18, 2007
- Seattle Must Not Care About Children Either, by Gerald Prante, October 11, 2007
- President Bush Vetoes Tax Increase on Politically Expedient Group, by Gerald Prante, October 3, 2007
- House Votes to Fund General Spending Program With Arbitrary and Narrow Tax Increase, by Gerald Prante, September 26, 2007
- Wisconsin Governor Gives Special Handout to Company Via Tax Code, by Gerald Prante, September 26, 2007
- Bootlegged Marlboros from Virginia Intercepted in Upper Marlboro, Maryland, by Patrick Fleenor, September 24, 2007
- Wisconsin Withdraws Plan for $15 Billion Tax Hike; Debates $1 Billion Tax Hike, by Joseph Henchman, September 21, 2007
- Doctors in Ohio Call for Nanny Taxes in the Name of Good Health, by Gerald Prante, September 21, 2007
- How Much Revenue Would Maryland Cigarette Tax Really Raise?, by Gerald Prante, September 20, 2007
- Maryland Gov. Wants More Revenue? Who Do You Go To? Smokers, Business, and Rich People, of Course, by Gerald Prante, September 19, 2007
- Cigarette Taxes Approaching Tipping Point, by TF Staff, September 7, 2007
- Viscusi on Paternalist Policies, by Gerald Prante, August 16, 2007
- Chicago Alderman Seeking Bottled Water Tax, by Gerald Prante, August 14, 2007
- Raising Federal Cigarette Tax Will Cause Decline in State Cigarette Tax Revenue, by Gerald Prante, August 8, 2007
- The Rush to Implement Ohio?s Largest Financial Transaction Ever, by Patrick Fleenor, July 26, 2007
- Tax Smokers In the Name of Public Health, But Not Bad Drivers, by Gerald Prante, July 25, 2007
- Taxing a Minority to Fund Government -- What Would James Madison Say?, by Gerald Prante, July 23, 2007
- Repealing Mortgage Interest Deduction Could Pay for Seven SCHIPs, by Gerald Prante, July 19, 2007
- Legislators Pit "Big Tobacco" Against Children, by Gerald Prante, July 18, 2007
- SCHIP, Cigarette Taxes, and Crime, by Patrick Fleenor, July 16, 2007
- Tax Everything That?s Not a ?Social Good?, by Gerald Prante, July 9, 2007
- Connecticut Smokers Discuss Tax Policy, by Alicia Hansen, June 22, 2007
- Raising Cigarette Taxes to Fund Veterans' Benefits, by Gerald Prante, June 7, 2007
- A County-Level Cigarette Tax in Nassau County?, by Gerald Prante, May 8, 2007
- Regressive Taxes + Regressive Spending = Redistribution from Low- to High-Earners, by Andrew Chamberlain, April 18, 2007
- Cigarette Tax Hike Could Make Price $7 a pack, by Gerald Prante, April 4, 2007
- New Study Analyzes Distribution of Taxes and Spending Together, by Gerald Prante, March 23, 2007
- Tax Cigarettes to Save Lives, But Not Too Many Lives, by Gerald Prante, March 16, 2007
- Taxing Smith: Do It for the Kids!, by Brian Phillips, February 28, 2007
- Funding Children's Health Care Programs with Cigarette Tax Hikes, by Gerald Prante, February 22, 2007
- Raise Tobacco Taxes to Fund Income Tax Cuts?, by Gerald Prante, December 14, 2006
- West Virginia Eying Cigarette Tax Increase, by Brian Phillips, December 7, 2006
- Taxes on Cigarettes Increase Crime, Denied by ACS Spokesman, by Brian Phillips, November 3, 2006
- New Op-Ed on California's Prop. 86 Cigarette Tax Increase, by Andrew Chamberlain, October 12, 2006
- California Cigarette Tax Increase: A Boon for Organized Crime?, by Andrew Chamberlain, August 3, 2006
- New Op-Ed: Crime, Smuggling and Cigarette Taxes, by Andrew Chamberlain, May 15, 2006
- How High Should Cigarette Taxes Go?, by Gerald Prante, January 24, 2006
- Oregon Lawmakers Seek Cigarette Tax Increase, by Gerald Prante, November 23, 2005
- UPS Decision Unlikely to Stop Cigarette Smuggling, by Curtis S. Dubay, October 25, 2005
- North Carolina?s Lowest-in-the-Nation Cigarette Tax up in Smoke, by Curtis S. Dubay, September 7, 2005
- Tobacco Tax Revenue Projections Go Up in Smoke, by Gerald Prante, August 23, 2005
- North Carolina to Raise Cigarette Tax, by Alicia Hansen, August 8, 2005
- Do Cigarette Taxes Cause Obesity?, by Andrew Chamberlain, August 3, 2005
- Black Markets vs. Cigarette Taxes, by Curtis S. Dubay, June 6, 2005
- Diminishing Returns to Smoke Taxes, by Andrew Chamberlain, June 1, 2005
- Incredible Shrinking Smoke Taxes, by Andrew Chamberlain, May 6, 2005
