AR HB1956

Caps total excise and privilege taxes on cigars at 50¢ per cigar across all applicable state tax codes, with proportional rate reductions if combined taxes would exceed this limit.

Makes the 16% excise tax on tobacco products other than cigarettes (imposed by § 26-57-208(2)) subject to the 50¢ per cigar limitation.

Makes the 7% additional excise tax on tobacco products other than cigarettes (imposed by § 26-57-803(b)) subject to the 50¢ per cigar limitation.

Makes the 7% additional excise tax on tobacco products other than cigarettes on first sales (imposed by § 26-57-805(a)) subject to the 50¢ per cigar limitation.

Makes the 36% additional excise tax on tobacco products other than cigarettes on first sales (imposed by § 26-57-807(a)) subject to the 50¢ per cigar limitation, effective the first day of the second calendar month following enactment.