Bill > HB1417

This bill establishes a new embodied carbon tax on cigarettes, which will initially be set at $0.0015 per cigarette. The tax is in addition to existing cigarette taxes in Washington state and is designed to account for the carbon emissions associated with cigarette production. Starting October 1, 2030, and every five years thereafter, the tax rate will automatically increase by 25 percent plus the rate of inflation, as measured by the consumer price index for urban consumers. The rate will be rounded to the nearest full cent and published on the department's website. All revenue collected from this new tax will be deposited into the state's general fund. The embodied carbon tax will take effect on October 1, 2025, giving manufacturers, retailers, and consumers time to prepare for the new tax. By linking the tax rate to inflation and implementing periodic increases, the bill aims to create a mechanism for continuously accounting for the environmental impact of cigarette production.

Budget and Finance

https://app.leg.wa.gov/billsummary?BillNumber=1417&Year=2025&Initiative=false