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W. Va. Tobacco Tax Increase Clears Senate

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Voting almost entirely on party lines, the West Virginia Senate passed a new bill that would raise the tax on cigars and other tobacco products from 7 to 12 percent. S.B. 1005 passed 17-16 with one Democrat voting for the increase and two Republicans voting against it. Interestingly the Senate’s 34th member, left before the vote was complete. Sen. Robert Karnes, R-Uphsur, abstained, though later said he would have voted no, which would have killed the bill. The bill would also increase the tax on cigarettes by 45 cents per pack. It’s part of a Special Session designed to address a $270 million budget gap. While the bill narrowly passed the Senate, it’s expected to face significantly more resistance in the House. A lobbying source told halfwheel some members of the House are aiming to kill the entire bill. If passed, a cigar with a suggested retail price of $9.50, which currently costs around $10.17, would be increased to $10.64 per halfwheel estimates.  

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