are cigarette taxes effective tax collections drop after last 2 Ky. tax increases - The Lane Report Budget 2026 tightens the screws

Budget 2026 tightens the screws on tobacco. Higher GST, a steep jump in NCCD, and a shift to retail pricelinked excise mean higher prices and rising pressure on margins. With total tax incidence Cigarette Taxes and Smoking Cato Institute Tobacco Taxes Are Most Effective Yet Least Implemented Tactics, Says WHO Health Policy Watch Higher Tobacco Taxes Can Improve Health and Raise Revenue Center on Budget and Policy Priorities Opinion: Raising prices reduces smoking, especially among youth, and that makes a higher tax worthwhile, writes state Rep. Brett Barker.

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