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

Thailand’s DDC Files Complaint Over Online Sales of Nicotine Pouches
Thailand’s DDC Files Complaint Over Online Sales of Nicotine Pouches
Thailand’s Department of Disease Control has lodged a complaint over the alleged online sale of nicotine pouches. The department said its monitoring found the products were being advertised and sold through electronic media, and a further inquiry later identified a physical shop linked to a store in Pathum Thani province.
Mar.23 by 2FIRSTS.ai
From myblu to Zone: Imperial Brands Refocuses NGP Strategy in HY26
From myblu to Zone: Imperial Brands Refocuses NGP Strategy in HY26
mperial Brands’ HY26 results point to a more selective NGP transition. The company is using cash flow from traditional tobacco to fund targeted investments in modern oral nicotine, heated tobacco and reusable vaping systems. Its decision to exit the legacy myblu vaping business in the U.S., while expanding Zone nicotine pouches. In Europe, Imperial’s NGP growth is being driven by a multi-category portfolio including blu, Pulze and Zone/Skruf.
Special Report
May.12
Imperial Brands to Close Langenhagen Cigarette Factory by 2027
Imperial Brands to Close Langenhagen Cigarette Factory by 2027
Imperial Brands said it will gradually close the Reemtsma factory in Langenhagen near Hanover by 2027 after efforts to find a buyer failed to produce a sustainable agreement. The factory has produced cigarettes since 1971 and currently affects around 600 employees. The company said it had examined all realistic options over recent months but did not receive a binding offer from a potential buyer.
Mar.27 by 2FIRSTS.ai
Kyrgyzstan Plans to Extend E-Cigarette Import Ban by Another Six Months
Kyrgyzstan Plans to Extend E-Cigarette Import Ban by Another Six Months
According to Kyrgyzstan’s Ministry of Economy, the government plans to extend the current ban on e-cigarette imports by another six months once the existing measure expires, with the new restriction set to take effect on July 10, 2026. The ban covers disposable e-cigarettes as well as nicotine-containing liquids for reusable systems.
Apr.17 by 2FIRSTS.ai
Canada’s Federal Vape Flavor Restrictions Remain Unclear Five Years After Announcement
Canada’s Federal Vape Flavor Restrictions Remain Unclear Five Years After Announcement
Five years after Canada’s federal government announced plans to restrict vaping flavors nationwide, Health Minister Marjorie Michel has not said when or whether the measure will still proceed. In 2021, Health Canada said it planned to limit vaping flavors nationwide to mint, menthol and tobacco, citing evidence that fruity and sweet flavors appeal to youth.
May.11 by 2FIRSTS.ai
Latvian Parliament Gives Initial Support to E-Cigarette Deposit Scheme Amendments
Latvian Parliament Gives Initial Support to E-Cigarette Deposit Scheme Amendments
On April 1, Latvia’s parliament gave conceptual support to amendments to the Waste Management Law that would introduce a deposit system for e-cigarettes in order to reduce pollution and environmental harm caused by these products.
Apr.03 by 2FIRSTS.ai