WI SB544

Creates a new category of "cigarette" for heat-not-burn tobacco products (tobacco heated without combustion), distinct from traditional combustible cigarettes, excluding vapor products

Sets excise tax rates for heat-not-burn products at approximately half the rate of traditional cigarettes: 63 mills per cigarette (vs. 126 mills) for products weighing ≤3 lbs per thousand, and 126 mills (vs. 252 mills) for heavier products

Imposes additional per-cigarette taxes on heat-not-burn products: 4 mills (vs. 8 mills) for lighter cigarettes and 8.4 mills (vs. 16.8 mills) for heavier cigarettes, minus any applicable federal tax

Establishes an inventory tax on heat-not-burn cigarettes held for sale when tax rates increase, requiring returns and payment within 30 days of the effective date

Takes effect on the first day of the 3rd month after publication