Vermont: Tobacco Excise Taxes
Vermont Cigarette and Tobacco Excise Taxes
|Total Vermont Cigarette Taxes||Average Cost Per Pack||Ranking (Highest to Lowest)|
|$3.08 / pack||$8.01 / pack||9th / 51|
In addition to (or instead of) traditional sales taxes, cigarettes and other tobacco products are subject to excise taxes on both the Vermont and Federal levels. Excise taxes on tobacco are implemented by every state, as are excises on alcohol and motor fuels like gasoline.
Current Vermont Tobacco Excise Tax Rates
The primary excise taxes on tobacco in Vermont are on cigarettes, though many states also have taxes on other tobacco products like cigars, snuff, or e-cigarettes. The tax on cigarettes is $2.75 per pack of 20 cigarettes. For all tobacco products except cigarettes there is a 92% wholesale price tax (2% of tax can be deducted if paid up to 10 days before the tax is due). There is a tax of $2 to $4 per cigar depending on whole price of cigars, a $2.29 tax per ounce of snuff and $2.29 per ounce of smokeless tobacco.
Vermont Cigarette Tax - $3.08 / pack
In Vermont, cigarettes are subject to a state excise tax of $3.08 per pack of 20. Cigarettes are also subject to Vermont sales tax of approximately $0.45 per pack, which adds up to a total tax per pack of $3.53.
The average cost of a pack of cigarettes in Vermont is $8.01, which is the 9th highest in the United States.
Vermont Cigar Tax - $20-$40 / 10 cigars
In Vermont, cigar are subject to a state excise tax of $20-$40 / 10 cigars as well as federal excise taxes (listed below).
Vermont Tobacco/Snuff Tax - $2.57 / Ounce
In Vermont, tobacco/snuff are subject to a state excise tax of $2.57 / ounce as well as federal excise taxes (listed below).
Vermont Medical Marijuana Tax - 6.00%
Medical marijuana is legal in Vermont, 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 Vermont cannabis sales tax of 6.00%.
There is no state excise tax on medical marijuana paid by the consumer.
Vermont Recreational Marijuana Tax - 20.00%
Recreational marijuana is legal in Vermont, 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 Vermont cannabis sales tax of 6.00%.
Recreational marijuana is subject to a state excise tax of 14%.
There is a 14% excise tax on recreational marijuana payed by the purchaser at the time of the retail sale, which is separate from the general sales tax. This tax includes food or beverages made using marijuana. In order to make medication more affordable, Vermont chose to exclude the sale of medical marijuana from a licensed dispensary to a licensed patient from the excise tax. This excise tax is effective as of March 1, 2022.
Payment of Vermont 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 of cigarettes and other tobacco products are due on the 15th day of each month.
Federal Tobacco Excise Taxes
The price of all tobacco products sold in Vermont 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.
Back to Vermont Sales Tax Handbook Top