North Carolina: HB 259 (budget bill/proposed conference committee substitute), which includes language to change the tax rate on snuff from 12.8% of the cost price to $0.40 per ounce and tax alternative nicotine products at $0.10 per container (up to 20 units per container and ½ cent per unit after 20 units), became law without the Governor’s signature on October 3, 2023. The tax changes will be effective July 1, 2025.
Pennsylvania: HB 1300 was amended and passed to include language pertaining to the minimum markup for the sale of cigarettes for retailers, stamping agents and wholesalers, was sent to the Senate for concurrence on October 4, 2023. As amended, the bill will make the following changes to the presumed cost of doing business: for retailers from 7% to 9% in 2024; 10% in 2025; 11% in 2026 and 12% in 2027 and thereafter / for stamping agents from 1.7% to 2% in 2024; 2.5% in 2025 and thereafter / for wholesalers from 4% to 6% in 2024 and 7% for 2025 and thereafter.