Bill To Lower Cigar Tax Passes Minnesota House Committee
ST. PAUL, Minn. (WCCO) -- A Minnesota House Committee advanced a bill on Thursday to lower the tax on premium cigars.
It's a big change for tobacco legislation in Minnesota. For years, the state legislature has been significantly raising taxes on tobacco in Minnesota, including cigarettes, chewing tobacco and small cigars.
But several years ago, it passed a big tax on premium cigars - $3.50 on a $10 cigar. Anti-smoking advocates call it an effective tool to discourage smoking.
Cigar store owners say it's a huge, disproportionate tobacco tax that is driving away customers.
"We are here today to tell you that the state of Minnesota continues to drive our customers away with our outrageously high taxes. These customers are finding alternative places to shop, spend their dollars to make purchases online or in neighboring states," Mark Wolk with Stogies on Grand said.
"Tobacco is a leading, if not the leading, cause of disease and disability in this world. And reducing it reduces disease, death and disability," Dr. Russell Luepker with the University of Minnesota said. "There's no argument about the science of that."