House Bill No. by Representative Riser seeks to amend Louisiana's tobacco tax laws by maintaining the current excise tax on cigarettes at $1.08 per pack, which includes a constitutionally mandated additional tax of 4 cents per cigarette. The bill introduces new legal language that allows for a 75% reduction in tax rates for certain modified risk tobacco products that have received a risk modification order from the U.S. Food and Drug Administration. This initiative aims to encourage the use of products that are marketed as significantly reducing harm and the risk of tobacco-related diseases.

In addition to the tax rate changes, the bill amends existing definitions and calculations related to the tobacco tax, including clarifying terms such as "cigarette," "dealer," and "invoice price." It also updates the role of the secretary of the Department of Revenue as the tax collector. The new definitions aim to enhance clarity in tax calculations, particularly concerning promotional incentives. The provisions of this Act will apply to taxable periods beginning on or after July 1, 2025, and will take effect upon the governor's signature or after the expiration of the time for bills to become law without signature.

Statutes affected:
HB669 Original: 47:841(B)