Maine Governor Janet Mills Proposes Tobacco Tax Increase for Budget Balance

Jan.13

Maine Governor Janet Mills proposes raising tobacco taxes to balance budget, citing low cigarette tax and high smoking rates.

According to a report by Halfwheel on January 12, Governor Janet Mills of Maine has released her two-year budget proposal, suggesting increases to tobacco taxes to achieve a balanced budget.

Mills pointed out that Maine's cigarette tax has not been adjusted since 2005 and currently stands at just $2 per pack. She proposed raising it to $3 per pack. The governor stated that currently, Maine has the lowest cigarette tax in the New England region, while the smoking rates among adults and teenagers are the first and second highest, respectively. These are the reasons she is pushing for a tax increase.

According to state law, if the cigarette tax is adjusted, the tax rate for other tobacco products must also be increased accordingly. The tax rate for cigars will be raised from 43% of the wholesale selling price to 65%. This new tax rate will also apply to chewing tobacco, e-cigarettes, and other products made from or containing natural or artificial nicotine.

According to supporting documents for the Miller proposal, it is estimated that raising tobacco taxes will generate an additional revenue of approximately $80 million for the state general fund over the next two years.

If the proposal is passed according to the current plan, the tax rate adjustment will take effect on January 5, 2026.

References:

[1] Maine's Governor Calls for 50 Percent Increase in Cigar & Tobacco Taxes

We welcome news tips, article submissions, interview requests, or comments on this piece.

Please contact us at info@2firsts.com, or reach out to Alan Zhao, CEO of 2Firsts, on LinkedIn

Notice

1. This article is intended solely for professional research purposes related to industry, technology, and policy. Any references to brands or products are made purely for objective description and do not constitute any form of endorsement, recommendation, or promotion by 2Firsts.

2. The use of nicotine-containing products — including, but not limited to, cigarettes, e-cigarettes, nicotine pouchand heated tobacco products — carries significant health risks. Users are responsible for complying with all applicable laws and regulations in their respective jurisdictions.

3. This article is not intended to serve as the basis for any investment decisions or financial advice. 2Firsts assumes no direct or indirect liability for any inaccuracies or errors in the content.

4. Access to this article is strictly prohibited for individuals below the legal age in their jurisdiction.

Copyright

This article is either an original work created by 2Firsts or a reproduction from third-party sources with proper attribution. All copyrights and usage rights belong to 2Firsts or the original content provider. Unauthorized reproduction, distribution, or any other form of unauthorized use by any individual or organization is strictly prohibited. Violators will be held legally accountable.

For copyright-related inquiries, please contact: info@2firsts.com

AI Assistance Disclaimer

This article may have been enhanced using AI tools to improve translation and editorial efficiency. However, due to technical limitations, inaccuracies may occur. Readers are encouraged to refer to the cited sources for the most accurate information.

We welcome any corrections or feedback. Please contact us at: info@2firsts.com

Vietnam’s Health Ministry Proposes Including E-Cigarettes and Heated Tobacco in the Investment Law Ban List

Vietnam’s Ministry of Health has submitted a proposal to the Government Office recommending that “e-cigarettes and heated tobacco products” be added to the list of prohibited investment and business sectors in the amended Investment Law. The proposal aligns with National Assembly Resolution No. 173/2024/QH15, which bans the production, trade, import, and use of these products starting in 2025.

Nov.12 by 2FIRSTS.ai

Philip Morris Korea: IQOS ILUMA i “SELETTI” Limited Edition Sells Out in One Week; Prime Model Sells Out on Launch Day

Philip Morris Korea and Italian design brand SELETTI’s limited “IQOS ILUMA i × SELETTI” collection sold out within one week of launch, with the “Prime” model selling out on its first day of release.

Nov.11 by 2FIRSTS.ai

JT Launches Ploom AURA “Navy Blue” Edition with a Limited-Time Half-Price Offer

From Oct 14, JT will sell the Ploom AURA “Navy Blue” nationwide at convenience stores and select tobacco retailers; the starter kit will be ¥1,480 (down from ¥2,980) from Oct 13–Nov 9.

Oct.09

Bangladesh Tobacco Control Group Urges Reversal of Philip Morris Nicotine Pouch Factory Approval

Advocates say the economic authority’s decision contradicts national health goals and violates a Supreme Court directive banning new tobacco ventures.