Iowa Tobacco Sales Taxes 2019 Iowa: Tobacco Excise Taxes

Iowa:

Iowa Cigarette and Tobacco Excise Taxes

Total Iowa Cigarette Taxes Average Cost Per Pack Ranking (Highest to Lowest)
$1.36 / pack $5.83 / pack 26th / 51

In addition to (or instead of) traditional sales taxes, cigarettes and other tobacco products are subject to excise taxes on both the Iowa and Federal levels. Excise taxes on tobacco are implemented by every state, as are excises on alcohol and motor fuels like gasoline.


Iowa Tobacco Sales Taxes 2019 Current Iowa Tobacco Excise Tax Rates

Iowa has average taxes on cigarettes compared to other states in the United States

The primary excise taxes on tobacco in Iowa are on cigarettes, though many states also have taxes on other tobacco products like cigars, snuff, or e-cigarettes. The tax on cigarettes is $1.36 per pack of cigarettes, $1.70 per pack of 25 small cigars, 50% of wholesale price for tobacco products and tax on snuff is $1.19 an ounce.


Iowa cigarette sales tax rate

Iowa Cigarette Tax - $1.36 / pack

In Iowa, cigarettes are subject to a state excise tax of $1.36 per pack of 20. Cigarettes are also subject to Iowa sales tax of approximately $0.33 per pack, which adds up to a total tax per pack of $1.69.

The average cost of a pack of cigarettes in Iowa is $5.83, which is the 26th highest in the United States.


Iowa Other Tobacco Products sales tax rate

Iowa Other Tobacco Products Tax - 50% / Wholesale Price

In Iowa, other tobacco products are subject to a state excise tax of 50% / wholesale price as well as federal excise taxes (listed below).

Little cigars are taxed as cigarettes.


Payment of Iowa 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 are due on the 10th day of the next month and the 20th of each month for tobacco products.


Federal Tobacco Sales Taxes 2019 Federal Tobacco Excise Taxes

The price of all tobacco products sold in Iowa 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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Source: http://www.salestaxhandbook.com/iowa/tobacco