cigarette taxes

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The CEO of the Foundation for a Healthy Kentucky has a mixed reaction to the approved cigarette tax increase in Frankfort.

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Kentucky legislators continue to look for ways to increase revenue for the state’s public pension systems. One option under consideration is raising the state’s cigarette tax by 50 cents.

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The Kentucky House has approved a two-year spending plan Thursday, which includes a 50-cent increase to the cigarette tax. Under this measure, the state tax on a pack of cigarettes would increase to $1.10.

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  The Foundation for a Healthy Kentucky spent six figures lobbying members of the General Assembly just in the first month of the 2018 session.  Their efforts are bearing some fruit.

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Members of the Senate Health and Welfare Committee are recommending the state’s cigarette tax increase by at least one dollar.

Kentucky: Ranked #1 for Wrong Health Reasons

Jul 20, 2017
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What I am referring to, sadly, are the horrible chronic diseases and premature deaths caused by Kentuckians using tobacco products.

Per Capita, Kentucky ranks #1 in cigarette consumption of all 50 states and leads the nation in lung cancer deaths.  One-third of all cancer deaths in Kentucky are related to tobacco.  The No. 1 killer of women is heart attack and stroke and of men, cancer; most are attributable to tobacco. Kentucky leads the nation by far in pregnant women who smoke (26.5% vs 10.7%). 

The state's top budget official is reporting an 8.3 percent increase in General Fund revenue in May, largely thanks to improved collections from the sales tax, individual income taxes and property taxes.

Budget Director Jane Driskell released a monthly revenue report on Monday. The report showed property tax collections increased by 75.2 percent in May. Individual income tax receipts rose by 8.3 percent. And sales tax receipts were up 5.2 percent.

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Kentucky House Speaker Greg Stumbo says he doesn't expect a tax reform package vote during the current legislative session. Stumbo says such a package doesn't have the 60 votes necessary to pass in the House.

A special commission appointed by the governor proposed reforms that could generate almost $700 million a year in additional revenue.  

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The Blue Ribbon Commission on Tax Reform meets today to share its recommendations with Kentucky Governor Steve Beshear. Beshear appointed the commission earlier this year to suggest ways to simplify the tax code and generate enough revenue to meet state needs and carry Kentuckians through the recession.

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Smokers might have to pay more in Kentucky for cigarettes if a proposal to raise the cigarette tax passes. The Blue Ribbon Commission on Tax Reform suggests raising the tax from $.60 a pack to $1. Governor Steve Beshear appointed the tax panel earlier this year to simplify the tax code and generate enough revenue to meet the state’s needs.

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