A bill for an act increasing the tax on cigarettes.
Summary
HF 2796 would increase Iowa’s cigarette excise tax by amending Code section 453A.6. The bill raises the tax from 6.8 cents per cigarette to 14.3 cents per cigarette, which the bill’s explanation states would increase the tax on a standard pack of 20 cigarettes from $1.36 to $2.86. It also increases the tax applied to cigarettes dispensed from vending machines that use loose tobacco products, raising that rate from 3.06 cents to 6.43 cents per cigarette dispensed.
The bill is a targeted tobacco-tax measure and would directly change the state’s cigarette tax rates and related vending-machine tax provisions. If enacted, it would increase the amount collected by the Department of Revenue from cigarette sales and from certain machine-dispensed cigarette products, affecting cigarette retailers, vending-machine operators, tobacco distributors, and consumers who purchase cigarettes in Iowa.
Impact
HF 2796 would amend Iowa Code section 453A.6 to set higher per-cigarette tax rates, thereby increasing the state excise tax burden on cigarettes and on cigarettes dispensed through certain vending machines. The practical effect would be higher retail prices for cigarettes and increased state revenue from tobacco taxation, while leaving the underlying tax structure in place.
Sentiment
There is no recorded committee transcript or vote history in the provided materials, so no direct debate or formal sentiment can be measured from the legislative record here. Based on the bill’s content, it appears to be a straightforward tax-increase proposal aimed at tobacco products, which typically draws support from public health and revenue perspectives and opposition from tobacco retailers, distributors, and anti-tax advocates.
Contention
No specific points of contention are documented in the provided context because there are no committee transcripts or votes. The likely areas of disagreement would be the size of the tax increase, its effect on cigarette prices and consumer behavior, and whether higher tobacco taxes are an appropriate revenue and public health tool; those concerns would most directly involve smokers, retailers, vending-machine operators, and fiscal or public health policymakers.
A bill for an act relating to the taxation of cigarettes, tobacco products, vapor products, and consumable hemp products, and making appropriations to the department of health and human services and the department of justice.
A bill for an act relating to administration of and taxation on tobacco-related products including imposing a tax on alternative nicotine products and vapor products.
A bill for an act relating to state and local taxation and regulations by changing certain tax credits, cigarette and tobacco-related regulations, and certain city budget certification deadlines, providing for penalties, and including retroactive applicability and effective date provisions.(Formerly HSB 90.)
A bill for an act relating to cigarette and tobacco product regulations including vapor products by requiring the electronic filing of returns and other related matters, and providing penalties.(See HF 1052.)
A bill for an act relating to cigarette and tobacco product regulations including vapor products by requiring the electronic filing of returns and other related matters, and providing penalties.(See SF 612.)
A bill for an act relating to state and local taxation and regulations by changing certain tax credits, cigarette and tobacco-related regulations, and certain city budget certification deadlines, providing for penalties, and including retroactive applicability and effective date provisions. (Formerly SSB 1153.) Effective date: 06/06/2025, 07/01/2025. Applicability date: 01/01/2025.
Regulating the manufacture, wholesale and distribution of electronic cigarettes in this state and establishing licensure of electronic cigarette manufacturers.
Requires school districts to provide instruction on dangers of electronic cigarette usage as part of New Jersey Student Learning Standards in Comprehensive Health and Physical Education.