US: California Cigarette Tax Hike Clears Senate Panels

Source from:  Tobacco Reporter International  05/16/2013

Two state Senate committees have backed a measure to raise the state cigarette tax by USD 2 (EUR 1.54) per 20-pack, votes that come less than one year after California voters rejected a ballot proposition to hike the levy by half that amount, documents show.
 
Senate Bill 768 would raise the state cigarette tax by 10 cents per stick. The current state tax per pack of 20 is 87 cents, and has not been raised since 1998. California's cigarette tax ranks it 33rd among the 50 US states, and the increase would put the state in fourth place, according to bill authors. The federal tax is USD 1.01.

Favourable recommendations in the Senate Governance and Finance Committee came on a 5-2 vote, and by a 6-2 margin in the Health panel.

Last June California voters narrowly rejected Proposition 29 to raise the excise levy by USD 1. Enditem