HB 4001 Summary

• Establishes a new 6 percent individual income tax on resident and nonresident individuals with Alaska-source income, effective January 1, 2018.

• Increases motor fuel taxes from 8 to 16 cents per gallon, cigarette excise tax from 62 to 112 mills, tobacco product tax from 75 to 100 percent of wholesale price, and alcoholic beverage taxes by approximately 100 percent.

• Creates a 75 percent excise tax on electronic smoking products and requires "CONTAINS NICOTINE" labeling for nicotine-containing products.

• Increases fisheries business tax rates by 1-2 percentage points and increases fishery resource landing tax rates by 1 percentage point.

• Modifies mining license provisions by reducing the new mining operation tax exemption from 3.5 years to 2 years, increasing mining license tax rates, and eliminating minimum/maximum restrictions on entry permit and interim-use permit annual base fees.