MONTPELIER - After rejecting a proposal to increase the state??s per-pack cigarette tax by a dollar just a day earlier, Vermont lawmakers agreed to a smaller increase ?" 53 cents ?" at the end of last week, the Associated Press reports, which would bring the total excise tax to $2.77.
The Vermont Senate voted in favor of the increase Friday, a day after rejecting the larger increase amid worries it would drive residents to neighboring states to purchase tobacco and reduce the business the state gets from New York and Massachusetts cigarette buyers.
Officials projected the increase would generate about $5.9 million annually in extra revenue.