Rhode Island Lawmakers Consider Lowering Cigarette Taxes

Bill seeks to trim one dollar from the state's cigarette pack tax.

May 17, 2011

PROVIDENCE, RI - Well here??s a different twist: Rhode Island??s General Assembly is planning to review a proposal that would lower the state??s cigarette excise tax by $1 per pack.

The Associated Press reports that the bill runs counter to a trend that has seen dozens of states consider raising cigarette taxes to help reduce budget deficits.

Proponents of the Rhode Island bill argue lowering the cigarette tax would provide a boost to Rhode Island??s tobacco retailers by attracting smokers from neighboring states. Lawmakers in New Jersey and New Hampshire have adopted a similar strategy, introducing bills earlier this year to lower their state tobacco taxes.

Rhode Island assesses a $3.46 state tax on each pack of cigarettes ?" the second-highest state excise tax in the country.

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