New York set to raise excise tax on cigarettes by $1

If you’re planning to buy cigarettes or cigars in New York this fall, expect to pay a little bit more than usual.

Beginning September 1, the state’s excise tax will increase by $1.00 per pack of 20 cigarettes—up from $4.35 to $5.35 statewide, and from $5.85 to $6.85 in New York City, according to New York’s Department of Taxation and Finance. The state excise tax on little cigars will also go up by $1.00 per pack of 20 effective September 1, rising to $5.35 from $4.35.

The increased tax, which was included in the new state budget approved earlier this year, will make New York one of the states and jurisdictions with the highest cigarette pack excise taxes in the nation. As of March 31, 2023, state excise taxes on cigarettes ranged from $0.17 per pack in Missouri to $4.35 in Connecticut and New York, according to the Centers for Disease Control and Prevention. The federal tax is about a dollar per pack.

Advocates like Michael Davoli—the senior New York government relations director for the American Cancer Society’s Cancer Action Network—have argued that the increase could save New York $727+ million in long-term smoking-related health costs, save more than 15,300 lives, and lead 44,800 adults to quit smoking.

New York reported a statewide smoking prevalence rate of 12% in 2021, according to the latest data from the state’s health department. Smoking and secondhand smoke kills more than 22,000 residents in the state each year.