FORT WAYNE, Indiana — Many state laws will take effect on July 1, including one that will affect many smokers in Indiana.
The tax hike applies to all tobacco products, including vapes, e-cigarettes, and chewing tobacco.
The cigarette tax will now increase by 200%, from nearly $1 to around $3.
This was included in the state’s 2025 budget, which projected a $2.4 billion shortfall. This is the first time the tax has been changed in nearly 20 years, and it will now generate $400 million annually.
Tobacco Free Allen County hopes that this will reduce tobacco consumption, citing research that shows that for every 10% increase in tax, there is a 4% decrease in people smoking and a 7% decrease in children.
“When we survey smokers, we typically find that about 75% of them want to quit,” Nancey Cripe, Director and Coalition Coordinator at Tobacco Free Allen County, explained. “They may not believe they can, but they want to, and this just helps, giving them that extra push to say, ‘Okay, it’s really gotten too expensive; now I need to do what I need to do anyway.'” Now, not every smoker will make that decision, but for many who want to, this will be the motivator.”
She recommends seeking assistance when attempting to quit, as the success rate is higher with help.
The state of Indiana provides a free statewide service for those attempting to quit any nicotine product. To get help, call 1-800-QUIT-NOW (800-784-8669) or go to their website.
