Tobacco Tax Hikes Would Burden Low-Income Taxpayers, Report Says

Tobacco Tax Hikes Would Burden Low-Income Taxpayers, Report Says

Tax Foundation

The Tobacco Tax Equity Act of 2021 would raise $112 billion over 10 years by doubling the excise tax rates on cigarettes and raising other tobacco tax rates, but would burden mostly low-income taxpayers and lead to state revenue losses, and could discourage smokers from switching to less harmful products, the Tax Foundation said in an August 31 report.

The Tobacco Tax Equity Act of 2021 would raise $112 billion over 10 years by doubling the excise tax rates on cigarettes and raising other tobacco tax rates, but would burden mostly low-income taxpayers and lead to state revenue losses, and could discourage smokers from switching to less harmful products, the Tax Foundation said in an August 31 report.

The <a href="/lr/resolve//782vd">Tobacco Tax Equity Act of 2021</a> would raise $112 billion over 10 years by doubling the excise tax rates on cigarettes and raising other tobacco tax rates, but would burden mostly low-income taxpayers and lead to state revenue losses, and could discourage smokers from switching to less harmful products, the Tax Foundation said in an August 31 report.