HI HB1426

Creates a new "premium cigar" definition in Hawaii law requiring cigars to be wrapped in whole tobacco leaf, contain 100% leaf tobacco binder, be at least 50% long filler tobacco by weight, be handmade, have no filter or non-tobacco components, contain no characterizing flavors, and weigh more than 6 pounds per thousand units

Establishes a flat excise tax of 50 cents per premium cigar, effective January 1, 2026, replacing the current percentage-based tax that applies to other tobacco products

Excludes premium cigars from the 50% wholesale price excise tax that currently applies to large cigars

Adds definition of "characterizing flavor" as distinguishable tastes or aromas of candy, chocolate, fruit, honey, alcoholic drinks, or similar non-tobacco flavors

Takes effect July 1, 2025, with the stated purpose of reducing competitive disadvantages for local Hawaii cigar retailers against mainland and black market sellers