HF 2796

House
File
2796
-
Introduced
HOUSE
FILE
2796
BY
CROKEN
A
BILL
FOR
An
Act
increasing
the
tax
on
cigarettes.
1
BE
IT
ENACTED
BY
THE
GENERAL
ASSEMBLY
OF
THE
STATE
OF
IOWA:
2
TLSB
5533YH
(1)
91
jm/jh
H.F.
2796
Section
1.
Section
453A.6,
subsection
1,
Code
2026,
is
1
amended
to
read
as
follows:
2
1.
There
is
imposed,
and
shall
be
collected
and
paid
to
the
3
department,
a
tax
on
all
cigarettes
used
or
otherwise
disposed
4
of
in
this
state
for
any
purpose
equal
to
six
fourteen
and
5
eight-tenths
three-tenths
cents
on
each
cigarette.
6
Sec.
2.
Section
453A.6,
subsection
8,
paragraph
a,
Code
7
2026,
is
amended
to
read
as
follows:
8
a.
Pay
directly
to
the
department,
in
lieu
of
the
tax
under
9
subsection
1
,
a
tax
equal
to
three
and
six
six
and
forty-three
10
hundredths
cents
on
each
cigarette
dispensed
from
such
machine.
11
Payments
made
under
this
paragraph
shall
be
remitted
to
the
12
department
electronically.
13
EXPLANATION
14
The
inclusion
of
this
explanation
does
not
constitute
agreement
with
15
the
explanation’s
substance
by
the
members
of
the
general
assembly.
16
This
bill
increases
the
cigarette
tax
from
6.8
cents
per
17
cigarette
to
14.3
cents
per
cigarette.
The
overall
tax
on
a
18
pack
of
cigarettes
(20
cigarettes)
goes
from
$1.36
to
$2.86.
19
The
bill
also
raises
the
tax
on
loose
tobacco
products
inserted
20
into
a
vending
machine
from
which
assembled
cigarettes
are
21
dispensed.
The
tax
is
increased
from
3.06
cents
on
each
22
cigarette
dispensed
from
the
vending
machine
to
6.43
cents.
23
-1-
LSB
5533YH
(1)
91
jm/jh
1/
1