Bill > SB20

This bill increases cigarette and tobacco product taxes while establishing a new Nicotine Use Prevention and Control Fund to support educational programs targeting nicotine use among individuals aged 5-25. Specifically, the bill raises the cigarette tax from 10 to 15 cents per cigarette and increases the tobacco products tax from 25% to 67.5% of wholesale price, with special rates for cigars and little cigars. The bill broadens the definition of "tobacco product" to include nicotine from all sources and creates a new fund that will receive 28.5% of cigarette tax revenues and 65% of tobacco product tax revenues. These funds will be administered by the Department of Health and used to develop prevention and control programs in collaboration with education departments. Additionally, the bill reduces the discount percentages for cigarette tax stamps and includes an appropriation of $500,000 to the Regulation and Licensing Department to expand nicotine sales and use enforcement. The changes will take effect on July 1, 2025, with the goal of discouraging nicotine use, particularly among younger populations, and generating revenue for prevention efforts.

Budget and Finance, Health and Social Services

https://www.nmlegis.gov/Legislation/Legislation?chamber=S&legtype=B&legno=20&year=25