New York smokers may soon have to cough up more for a pack of cigarettes, if Gov. Kathy Hochul’s proposed tax is approved.
She wants to raise the tax on a pack of cigarettes by a dollar, to $5.35.
The idea was included in her budget, along with a ban on flavored tobacco, including menthol cigarettes.
What You Need To Know
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Hochul has proposed a new $1 tax on each pack of cigarettes
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Hochul also wants to ban flavored tobacco, including menthol cigarettes
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Retailers say the ban will hurt their businesses
“We were ecstatic to see that news in the governor’s budget address and also during her state of the state,” said Trevor Summerfield of the American Lung Association. “There is evidence out there that shows when you increased the tax on tobacco products by a minimum of a dollar, or 10% of the product price, you are going to see people quitting smoking, but also not picking up the habit in the first place.”
But it’s not just a tax increase. Hochul also wants to ban menthol cigarettes, along with other flavored tobacco. And that has some retailers concerned.
“The proposed flat out ban of flavored and menthol tobacco will harm convenience stores and other tobacco retailers across the state. Hands down,” says Kent Sopris of the New York Association of Convenience Stores. “The thing is, it’s really not going to do what the proponents want it to do.”
According to critics of the proposed flavored tobacco ban, New Yorkers will simply go to the unregulated market. Or drive into neighboring states to buy it. And many of the state’s Native American reservations could also continue to sell them.
But they also claim it’s hypocritical of the state to ban tobacco while promoting legal marijuana sales at dispensaries.
“It is bizarre and unfair that the state on one hand would promote smoking marijuana and cannabis, and then say that menthol cigarettes and menthol tobacco are no good, Sopris said.
In a statement, a spokesperson for Hochul said “with commercial tobacco use the leading cause of preventable deaths, Governor Hochul is leading the way to a tobacco-free generation to reduce youth smoking and prevent senseless deaths.”
The Hochul administration is projecting a loss of revenue for the state of about $150 million per year. But opponents say it could be much higher. Both California and Massachusetts have instituted similar bans.