HB15 Alabama 2013 Session

Summary

Primary Sponsor

Patricia Todd

Democrat

Session

Regular Session 2013

Title

Cigarettes, tax increased, Sec. 40-25-2 am'd.

Summary

HB15 would raise Alabama's cigarette tax to 75 cents per pack and update how tobacco taxes are collected and distributed.

What This Bill Does

It increases the tax on cigarettes to 0.75 per pack and broadens the tobacco tax structure by establishing a license/privilege tax for sellers based on sales volume. It also directs that the revenue from the increased tax go to the State General Fund, and sets an effective date for the changes.

Who It Affects

• Tobacco product sellers (retailers, wholesalers, distributors) in Alabama, who would owe license/privilege taxes based on their sales volume of tobacco products.
• Consumers in Alabama who purchase tobacco products, who would face higher prices due to the increased cigarette tax and the tax collection process.

Key Provisions

• Cigarette tax increases from 0.425 to 0.75 per pack (equivalent to 37.5 mills per cigarette).
• Amendment to Section 40-25-2 creating or adjusting license/privilege taxes for tobacco products based on volume and product type (cigars, smoking tobacco, chewing tobacco, snuff, etc.).
• Revenue from the increased tax is deposited into the State General Fund.
• Tax collection continues via stamps, with retailers adding the tax to the selling price and passing it to consumers; no new local taxes may be added beyond the increase; pre-2004 local taxes may remain.
• Effective date: the act becomes law on the first day of the third month after passage and governor approval.

AI-generated summary using openai/gpt-5-nano on Feb 24, 2026. May contain errors — refer to the official bill text for accuracy.

Subjects

Taxation