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

Reynolds American launches U.S. investment plan: to invest $3.2 billion to expand capacity and advance a shift toward smokeless products
Reynolds American launches U.S. investment plan: to invest $3.2 billion to expand capacity and advance a shift toward smokeless products
Reynolds American says it will invest more than $3.2 billion across its U.S. operations by 2030. The investment began in 2024 and is expected to support more than 2,000 direct and indirect jobs. The company says the plan covers modernization and expansion of manufacturing facilities, scaling innovation and production, supply-chain initiatives and employee training, and also references its R&D spending and related site footprint.
Mar.06 by 2FIRSTS.ai
South Africa health department agrees to exempt smokeless and non-combustible products from tobacco control bill
South Africa health department agrees to exempt smokeless and non-combustible products from tobacco control bill
At a parliamentary committee meeting in South Africa, Health Minister Aaron Motsoaledi said the health department has agreed to exempt non-combustible and smokeless products — including chewing tobacco, snus, nicotine pouches and e-cigarettes — from the Tobacco Products and Electronic Delivery Systems Control Bill. The department is prepared, at this stage, to exempt them from packaging and labelling requirements except for misleading or false claims.
Mar.06 by 2FIRSTS.ai
Brazilian Research Institutions Prepare Joint Recommendations on Electronic Smoking Device Studies
Brazilian Research Institutions Prepare Joint Recommendations on Electronic Smoking Device Studies
Brazil’s National Cancer Institute, the Oswaldo Cruz Foundation, and other research institutions are preparing a joint letter with recommendations and guidance for studies on electronic smoking devices, including e-cigarettes, vapes, and similar products. The guidelines were discussed on April 14 and 15 at the seminar “Building a Priority Research Agenda on Electronic Smoking Devices for Brazil” in Rio de Janeiro.
Apr.16 by 2FIRSTS.ai
SICPA Secures Five-Year UK Vape Tax Stamp Contract
SICPA Secures Five-Year UK Vape Tax Stamp Contract
HM Revenue and Customs (HMRC) has awarded a five-year contract to Swiss technology company SICPA and Cartor Security Printers to implement the United Kingdom’s new vaping duty stamp and track-and-trace system, beginning in April 2026.
Market
Feb.24
Editorial says West Virginia’s HB 5437 “Vape Safety Act” goes too far, targeting residency and citizenship provisions
Editorial says West Virginia’s HB 5437 “Vape Safety Act” goes too far, targeting residency and citizenship provisions
A News and Sentinel editorial argues that West Virginia’s HB 5437, the “Vape Safety Act,” goes beyond reasonable regulation by adding provisions barring any part of a vape or smoke shop from being used as a residence and requiring owners to be U.S. citizens.
Feb.27 by 2FIRSTS.ai
WSJ: White House Pushes for More Flavored Vape Approvals as FDA Commissioner Makary Blocks Move
WSJ: White House Pushes for More Flavored Vape Approvals as FDA Commissioner Makary Blocks Move
According to The Wall Street Journal, the White House is pushing to allow more flavored vape products onto the market for the first time in years, but FDA Commissioner Marty Makary opposes the move and has blocked the plan. The report said a memo from Makary’s office prevented authorization of several flavors from vape maker Glas, even after FDA scientific reviewers had supported them.
Apr.20 by 2FIRSTS.ai