Delaware – Delaware lawmakers rolled out House Bill 215 on June 9, proposing a sharp increase in tobacco taxes to plug budget holes. The cigarette tax would jump from $2.10 to $3.60 per pack, outstripping Pennsylvania and New Jersey but lagging Maryland’s $5. Taxes on other tobacco products would rise from 30% to 45% of wholesale price, and vape taxes would climb from 5 cents to 25 cents per milliliter. Licensing fees for tobacco sellers would also spike.
Tobacco use runs high among Delaware’s youth, with 18.3% of high schoolers hooked compared to 16.2% of adults. The state hopes to curb smoking and offset $532 million in annual healthcare costs tied to tobacco. Other states’ tax hikes have cut use, and Delaware expects extra revenue to fund health and community programs. Critics argue the tax hits low-income folks hardest, raising concerns about fairness in a state facing a looming budget deficit. The bill, now in the House, could kick in by September if approved.
