Bill > HB0987

This bill amends Tennessee tax law to specifically define and tax "heated tobacco products" as a distinct category of cigarettes. The legislation introduces a new definition for heated tobacco products as devices that produce an inhalable aerosol by heating tobacco through non-combustion methods or by using heat that primarily heats rather than burns tobacco. The bill expands the legal definition of "cigarette" to explicitly include heated tobacco products and establishes a specific tax rate of 0.15 cents per heated tobacco product cigarette, which is lower than the standard cigarette tax rate of 3 cents. In addition to the tax, the bill maintains an existing enforcement and administration fee of 0.05 cents per pack for tobacco product dealers and distributors. The law will take effect immediately upon becoming law, with the stated purpose of protecting public welfare by regulating this emerging tobacco product category.