The bill establishes an embodied carbon tax on cigarettes in Washington State by adding a new section to chapter 82.24 RCW. This tax will be imposed in addition to existing taxes on the sale and distribution of cigarettes, set at $0.0015 per cigarette. The bill also outlines that starting October 1, 2030, and every five years thereafter, the tax rate will increase by 25 percent plus the rate of inflation, as measured by the consumer price index for urban consumers. The adjusted tax rate will be rounded to the nearest full cent and made available on the department's website. Revenue generated from this tax will be deposited into the general fund.

The act is set to take effect on October 1, 2025. This new tax aims to address the environmental impact of cigarette production and consumption by incorporating a carbon cost into the pricing structure.