TAXATION
USA: Tobacco Regulation & Legislation
The regulatory landscape for tobacco in the United States is notably complex, involving multiple layers of authority that sometimes come into conflict. At the federal level, the U.S. Food and Drug Administration (FDA) regulates tobacco products, including e-cigarettes, heated tobacco and nicotine pouches, under the Family Smoking Prevention and Tobacco
USA: Tobacco & Vape Tax
August 2026: South Carolina Introduces First Statewide Vape Tax Starting October 1, 2026 South Carolina will introduce its first statewide excise tax on vaping products and electronic cigarettes beginning October 1, 2026, following the passage of House Bill 4303 (Act 234). The new law brings e-liquids and disposable vape devices
USA: Nicotine Pouch Tax
June 2026: New York enacts 75% wholesale tax on nicotine pouches The New York Governor signed a 75% wholesale tax on nicotine pouches into law. The measure differs from the state’s cigarette tax, which is set at $5.35 per pack. The state expects the tax to generate an additional $50
Taxation: E-cigarettes
E-cigarette is invented two decades ago in China and became available in Europe and the US as early as 2006/2007. Following years of turbulent growth, e-cigarette sales now surpassed the $20Bn mark (global retail turnover per year). Therefore, the category is no longer under the radar and is a subject
Tobacco & Nicotine Tax: USA – 2026
U.S. States Move to Expand Nicotine Excise Taxes in 2026 With the 2026 state legislative session in full swing, excise taxation on cigarettes, vaping products, nicotine pouches and other tobacco-related items has emerged as a central policy focus across the United States. Faced with persistent budget pressures and declining cigarette
Cigarette Tax: International
Below is the list the most recent tobacco tax changes across the world. Note that there is a separate write-up on e-cigarette taxation. November 2025: Bulgaria to Gradually Increase Tobacco and Nicotine Excise Taxes from 2026 Bulgaria will implement a phased increase in excise duties on all tobacco and nicotine
Taxation: Heated Tobacco Products
October 2024: Under political pressure, New Zealand’s Associate Health Minister releases the details of the independent advice on heated tobacco products that paved the way to the excise tax rate cut The political pressure is mounting on the New Zealand’s Associate Health Minister following the heated tobacco excise rate cut
