Bill > S02133

This bill amends the New York tax law to create a specific tax classification and definition for "premium cigars" while establishing a unique tax rate for these tobacco products. The bill defines a premium cigar as a cigar that is handmade, composed entirely of tobacco leaf (including the wrapper, binder, and filler), has no filter or non-tobacco mouthpiece, is hand-capped, and weighs more than six pounds per thousand units. For premium cigars, the proposed tax rate will be either 75 percent of the wholesale price or fifty cents, whichever is less, and this tax is intended to be imposed only once per sale. This differs from the existing tax structure for other tobacco products, which are taxed at a flat 75 percent of wholesale price. The bill includes a sunset provision, meaning these new tax provisions will automatically expire and be deemed repealed three years after the date of enactment, which provides a temporary experimental approach to taxing premium cigars differently from other tobacco products.

Budget and Finance

https://www.nysenate.gov/legislation/bills/2025/S2133