Tuesday, February 03 2009
By Chris McCalla
Legislative Director,
IPCPR
Legislation Takes Effect April 1, 2009
Following a long, drawn-out political fight started in 2007, President Obama signed into law the State Children's Health Insurance Program (SCHIP) renewal and expansion bill.
In order to avoid further delay, the House of Representatives voted to accept the Senate's amendment to the SCHIP bill.
There will be no floor tax on "large cigars" (weighing three pounds or more per 1,000 cigars (this includes most premium cigars). Despite strong lobbying efforts, the floor tax remains in effect for all other tobacco products. The new federal excise tax rates to take affect April 1, 2009 are as follows:
cigarettes $1.0066/pack
Large cigars 52.75%
Snuff $1.51/lb.
Chew $.5033 cents/lb.
Pipe tobacco $2.8311/lb.
RYO $24.78/lb.
Little cigars $50.00/1,000
For more information on the SCHIP bill and other tobacco legislation news, please visit IPCPR.com. £
