Bill > HB1591

This bill proposes to increase the cigarette tax in Missouri, with key provisions that would take effect upon voter approval in the November 2026 election. Beginning January 1, 2027, the state will levy a cigarette tax equal to either the lowest tax rate imposed by any other state or ten mills per cigarette, whichever is lower. The Missouri Department of Revenue will be responsible for monitoring other states' cigarette tax rates and publishing an updated rate annually by October 1st, with any rate changes taking effect on January 1st of the following year. To prevent stockpiling, licensees will be limited to purchasing no more than 110% of their previous year's stamp volume in the six months prior to a tax rate change. The additional tax revenue generated, minus a 3% reduction, will be deposited into the state's health initiatives fund. The bill requires voter approval through a referendum, meaning the proposed tax increase will only become law if a majority of voters support it in the November 2026 election. This measure aims to align Missouri's cigarette tax with other states' rates and generate additional funding for health initiatives.

https://house.mo.gov/Bill.aspx?bill=HB1591&year=2025&code=R