Maine Governor Janet Mills Proposes Tobacco Tax Increase for Budget Balance

Jan.13.2025
Maine Governor Janet Mills Proposes Tobacco Tax Increase for Budget Balance
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.


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

Product | Detachable Battery + Dual-Battery System: RAZ VUE 50K Launches on U.S. Online Vape Channels
Product | Detachable Battery + Dual-Battery System: RAZ VUE 50K Launches on U.S. Online Vape Channels
RAZ has recently launched the RAZ VUE 50K on U.S. online vape channels, positioning it as the brand’s first disposable vape featuring a detachable battery. The device uses a dual-battery setup—an integrated 420mAh battery in the pod paired with a reusable 900mAh power bank—and is rated for up to approximately 50,000 puffs in Normal Mode.
Jan.16 by 2FIRSTS.ai
HB 5437 “Vape Safety Act” advances in House committee, proposing statewide licensing for vape shops
HB 5437 “Vape Safety Act” advances in House committee, proposing statewide licensing for vape shops
A committee substitute for House Bill 5437, the Vape Safety Act sponsored by Del. David McCormick (David McCormick), was recommended Monday afternoon by the House Health and Human Resources Committee to the full House, with the bill next heading to the House Judiciary Committee. HB 5437 would require specialty shops selling tobacco, tobacco-derived products, alternative nicotine, or vapor products and accessories to obtain a state license from the Alcohol Beverage Control Administration (ABCA)
Feb.26 by 2FIRSTS.ai
Product | Claiming a “first multi-beverage vaporizer” with refillable juice/cocktail water chamber, PEAKBAR launches new device in the U.S.
Product | Claiming a “first multi-beverage vaporizer” with refillable juice/cocktail water chamber, PEAKBAR launches new device in the U.S.
PEAKBAR’s new H2O 40K has begun selling through U.S. online retailers including Vape Sourcing. Marketed as the “world’s first multi-beverage vaporizer,” the device is promoted as allowing users to add liquids such as juice and cocktails into a water chamber for pairing. Publicly listed specifications include 20 ml of e-liquid, a rated 40,000 puffs, 0.5% nicotine, a 1,000 mAh rechargeable battery, and two power modes at 22W and 12W.
Jan.22 by 2FIRSTS.ai
PMI Faces Setback in India: Global Regulatory Fragmentation Complicates Its Smoke-Free Transition
PMI Faces Setback in India: Global Regulatory Fragmentation Complicates Its Smoke-Free Transition
India has reaffirmed its 2019 ban on e-cigarettes and heated tobacco devices, effectively blocking Philip Morris International (PMI) from launching IQOS in the country despite years of lobbying. Together with Taiwan, China’s conditional opening of heated tobacco products, and Japan’s planned 2026 excise tax hikes, these moves highlight increasingly divergent national regulatory pathways—an external uncertainty shaping PMI’s smoke-free growth trajectory.
Feb.12
Russia dismantles illegal vape liquid plant near Moscow; goods worth about $13 million seized
Russia dismantles illegal vape liquid plant near Moscow; goods worth about $13 million seized
Russian authorities say they have dismantled an illegal vape-liquid production site in the Moscow region, seizing four production lines, large quantities of components and finished goods, and substantial cash. The Interior Ministry estimated the seized products’ value at about 1 billion rubles (≈$13 million) and said the operation ran around the clock, producing up to 75,000 units per shift.
Feb.10 by 2FIRSTS.ai
FDA Highlights Product Characterization as a Foundational Requirement in ENDS PMTA Reviews
FDA Highlights Product Characterization as a Foundational Requirement in ENDS PMTA Reviews
During its ongoing PMTA roundtable, FDA emphasized that product characterization is a foundational element in the review of electronic nicotine delivery systems (ENDS). The agency underscored the need for complete product identifying information, validation and verification of test methods on the specific product type, and the appropriate use of tobacco product master files (TPMFs) to support complex or proprietary ingredients in PMTA submissions.
Feb.10