ME LD1658

Increases the cigarette excise tax from 100 mills to 150 mills per cigarette (from $2.00 to $3.00 per pack of 20) beginning January 5, 2026

Raises the smokeless tobacco tax from $2.02 to $3.03 per ounce or per package beginning January 5, 2026

Increases the tax on other tobacco products from 43% to 65% of cost price beginning January 5, 2026, and clarifies that products containing synthetic nicotine are included

Establishes a minimum annual funding floor of $65,000,000 for the Fund for a Healthy Maine beginning fiscal year 2027-28, with revenue from cigarette and tobacco taxes transferred as needed to meet this threshold

Reduces the stamp discount rate for distributors from 1.15% to 0.77% to reflect the higher tax rate