Colorado: Tobacco Excise Taxes
Colorado Cigarette and Tobacco Excise Taxes
|Total Colorado Cigarette Taxes||Average Cost Per Pack||Ranking (Highest to Lowest)|
|$0.84 / pack||$5.26 / pack||39th / 51|
In addition to (or instead of) traditional sales taxes, cigarettes and other tobacco products are subject to excise taxes on both the Colorado and Federal levels. Excise taxes on tobacco are implemented by every state, as are excises on alcohol and motor fuels like gasoline.
Current Colorado Tobacco Excise Tax Rates
The primary excise taxes on tobacco in Colorado are on cigarettes, though many states also have taxes on other tobacco products like cigars, snuff, or e-cigarettes. The tax on cigarettes is $0.84 per pack containing 20 cigarettes and a tax on all other tobacco products of 40% of manufacturer's selling price.
Colorado Cigarette Tax - $0.84 / pack
In Colorado, cigarettes are subject to a state excise tax of $0.84 per pack of 20. Cigarettes are also subject to Colorado sales tax of approximately $0.15 per pack, which adds up to a total tax per pack of $0.99. Colorado's cigarette excise tax rate has not been changed in over a decade.
The average cost of a pack of cigarettes in Colorado is $5.26, which is the 39th highest in the United States.
Colorado Other Tobacco Products Tax - 40% / Manufacturer's Price
In Colorado, other tobacco products are subject to a state excise tax of 40% / manufacturer's price as well as federal excise taxes (listed below).
Colorado Medical Marijuana Tax - 2.90%
Medical marijuana is legal in Colorado, and is subject to state taxes. There are no federal excise taxes collected on marijuana, since it is still seen as illegal under Federal laws.
Currently, medical marijuana is subject to a Colorado cannabis sales tax of 2.90%.
There is no state excise tax on medical marijuana paid by the consumer.
Colorado Recreational Marijuana Tax - 30.00%
Recreational marijuana is legal in Colorado, and is subject to state taxes. There are no federal excise taxes collected on marijuana, since it is still seen as illegal under Federal laws.
Currently, recreational marijuana is subject to a Colorado cannabis sales tax of 15.00%.
Recreational marijuana is subject to a state excise tax of 15%.
Cultivators and qualifying cannabis product manufacturers must pay a 15% excise tax based on the average market rate of retail marijuana. This tax is imposed on the first sale or transfer from the marijuana cultivation facility to a store, manufacturing facility, or other cultivation facility. Transfers among cultivation facilities are exempt from the excise.
Payment of Colorado Tobacco Excise Taxes
Payments of tobacco excise taxes are made by vendors, not by consumers, though the taxes will be passed on in the tobacco's retail price. Sales reports and payments are due on the 10th day of each month for cigarettes and the 20th of the month after the end of each quarter (January, April, July, October).
Federal Tobacco Excise Taxes
The price of all tobacco products sold in Colorado also includes Federal Tobacco excise taxes, which are collected from the manufacturer by the Tobacco and Tobacco Tax and Trade Bureau and generally passed on to the consumer in the product's price. Federal excise tax rates on tobacco products are as follows:
Cigars and Cigarettes
|Small Cigarettes||$50.33 per 1,000 cigarettes, or $1.01 per pack of 20|
|Large Cigarettes||$105.69 per 1,000 cigarettes, or $2.11 per pack of 20|
|Small Cigars||$50.33 per 1,000 cigars, or $1.01 per pack of 20|
|Large Cigars||52.75% of sales price but not to exceed $402.60 per 1,000 cigars, or $0.4026 maximum each|
Other Tobacco Products
|Pipe Tobacco||$2.8311 per pound, or $0.1769 per one-ounce tin|
|Chewing Tobacco||$0.5033 per pound, or $0.0315 per one-ounce tin|
|Snuff||$1.51 per pound, or $0.0944 per one-ounce tin|
|Roll-your-own Tobacco||$24.78 per pound, or $1.5488 per one-ounce tin|
There are also federal excise taxes on cigarette rolling paper and cigarette tubes.
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