2025 -- H 5770

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LC001408

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     STATE OF RHODE ISLAND

IN GENERAL ASSEMBLY

JANUARY SESSION, A.D. 2025

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A N   A C T

RELATING TO TAXATION -- CIGARETTE, OTHER TOBACCO PRODUCTS, AND

ELECTRONIC NICOTINE-DELIVERY SYSTEM PRODUCTS

     

     Introduced By: Representatives Caldwell, Craven, McEntee, Casey, and Kazarian

     Date Introduced: February 26, 2025

     Referred To: House Finance

     It is enacted by the General Assembly as follows:

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     SECTION 1. Section 44-20-5 of the General Laws in Chapter 44-20 entitled "Cigarette,

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Other Tobacco Products, and Electronic Nicotine-Delivery System Products" is hereby amended

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to read as follows:

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     44-20-12. Tax imposed on cigarettes sold.

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     (a) A tax is imposed on all cigarettes sold or held for sale in the state. The payment of the

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tax to be evidenced by stamps, which may be affixed only by licensed distributors to the packages

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containing such cigarettes. Any cigarettes on which the proper amount of tax provided for in this

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chapter has been paid, payment being evidenced by the stamp, is not subject to a further tax under

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this chapter. The tax is at the rate of two hundred twenty-five (225) mills for each cigarette.

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     (b) Any tax imposed under this chapter shall be reduced by seventy-five percent (75%) for

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any product the Secretary of the United States Department of Health and Human Services

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determines to be a modified risk tobacco product pursuant to § 21 U.S.C. 387K. For the purpose of

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this section, "modified risk tobacco product" means any tobacco product that is sold or distributed

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for use to reduce the harm or the risk of tobacco-related disease associated with commercially

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marketed tobacco products.

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     SECTION 2. This act shall take effect upon passage.

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EXPLANATION

BY THE LEGISLATIVE COUNCIL

OF

A N   A C T

RELATING TO TAXATION -- CIGARETTE, OTHER TOBACCO PRODUCTS, AND

ELECTRONIC NICOTINE-DELIVERY SYSTEM PRODUCTS

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     This act would reduce the cigarette tax imposed by seventy-five percent (75%) for any

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modified risk tobacco product as defined in § 21 U.S.C. 387K as a tobacco product sold or

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distributed to reduce the harm or risk of tobacco-related disease associated with commercially

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marketed tobacco products.

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     This act would take effect upon passage.

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