Bill Would Increase New Jersey’s Cigar Tax to 50 Percent

[JohnS]

Bill Would Increase New Jersey’s Cigar Tax to 50 Percent

November 14, 2025 - Charlie Minato

Last week, a bill was introduced that would increase the tax rate for cigars sold in New Jersey from the current rate of 30 percent to 50 percent of the wholesale price.

Sen. Joe F. Vitale, D-Woodbridge, has introduced S. 4820, which would modify the state’s tax rates for other tobacco products, including cigars. Currently, a cigar is charged a state excise tax of 30 percent of its wholesale price, typically half of the MSRP. This means for a cigar with an MSRP of $9.50, the wholesale price is likely $4.75. That cigar is charged 30 percent of the $4.75, which would be $1.425. This is then added to the price a consumer pays, meaning that $9.50 cigar likely retails for $10.93 before the state’s 6.625 percent sales tax is added at the register.

If S. 4820 the tax would increase to $2.375, meaning the price would be $11.88 before sales tax.

In addition, S. 4820 would change the moist snuff tax rate from $.75 per ounce to $1.50 per ounce. Currently, the bill has no other sponsors; there does not appear to be a companion bill in the New Jersey General Assembly.

If passed, New Jersey would go from having the 13th-highest tax rate for cigars to the 7th-highest in the nation.

Source: https://halfwheel.com/bill-would-increase-new-jerseys-cigar-tax-to-50-percent/456747/

[NYGuido]

More b******t while alcohol continues to be far more of a healthcare issue than premium cigars. 

[BrightonCorgi]

Only 50%? They should make it an even 100%. They'll feel more virtuous about themselves.

[MrBirdman]

20 hours ago, NYGuido said:

More b******t while alcohol continues to be far more of a healthcare issue than premium cigars. 

Seriously - leaving aside the medical health issues, when was the last time you heard about a fatal traffic accident caused by excessive cigar smoking? AMA estimates ~9,000 deaths from cigar smoking each year in the US - compared to over 10,000 killed annually from drunk driving alone, including hundreds of kids.

[BG318]

5 hours ago, BrightonCorgi said:

Only 50%?  They should make it an even 100%.  They'll feel more virtuous about themselves.

We're plenty virtuous here in NJ. Our styrofoam ban results in a 300% increase in carryout supply costs.

[NYGuido]

1 hour ago, MrBirdman said:

Seriously - leaving aside the medical health issues, when was the last time you heard about a fatal traffic accident caused by excessive cigar smoking? AMA estimates ~9,000 deaths from cigar smoking each year in the US - compared to over 10,000 killed annually from drunk driving alone, including hundreds of kids.

EXACTLY! When I smoke cigars, I am in a great mood and am filled with the spirit of brotherhood to all men. When I used to drink, I was...shall we say...NOT.

[BrightonCorgi]

Recreational cannabis is legal in NJ. Priorities.

[NYGuido]

10 hours ago, BrightonCorgi said:

Recreational cannabis is legal in NJ. Priorities.

I mean, I like that, too 😜

[BrightonCorgi]

38 minutes ago, NYGuido said:

I mean, I like that, too 😜

That gets taxed less than cigars and has a larger impact on the state's residents (for better or worse).

[NYGuido]

9 hours ago, BrightonCorgi said:

That gets taxed less than cigars and has a larger impact on the state's residents (for better or worse).

Oh, for sure. And I’d rather have cannabis be legal, regulated, and taxed than illegal, shady, and untaxed. I’m just always annoyed when governments use taxation as a means of imposing their own morality on consenting adults.