Minnesota Tobacco Sales Taxes 2019 Minnesota: Tobacco Excise Taxes

Minnesota:

Minnesota Cigarette and Tobacco Excise Taxes

Total Minnesota Cigarette Taxes Average Cost Per Pack Ranking (Highest to Lowest)
$3.00 / pack $8.40 / pack 6th / 51

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


Minnesota Tobacco Sales Taxes 2019 Current Minnesota Tobacco Excise Tax Rates

At $3.00 / pack, Minnesota has some of the highest state taxes on cigarettes in the United States

The primary excise taxes on tobacco in Minnesota are on cigarettes, though many states also have taxes on other tobacco products like cigars, snuff, or e-cigarettes. The tax on cigarettes is $3.776 (total) per pack of 20 cigarettes and little cigars and there is a tax on tobacco and moist snuff of 95% of their wholesale price. In Minnesota, sales tax is applied to cigarettes at a wholesale level, not at the consumer level.


Minnesota cigarette sales tax rate

Minnesota Cigarette Tax - $3.00 / pack

In Minnesota, cigarettes are subject to a state excise tax of $3.00 per pack of 20. Cigarettes are also subject to Minnesota sales tax of approximately $0.54 per pack, which adds up to a total tax per pack of $3.54.

The average cost of a pack of cigarettes in Minnesota is $8.40, which is the 6th highest in the United States.


Minnesota Other Tobacco Products sales tax rate

Minnesota Other Tobacco Products Tax - 95% / Wholesale Price

In Minnesota, other tobacco products are subject to a state excise tax of 95% / wholesale price as well as federal excise taxes (listed below).

The general tobacco tax also applies to vaping and e-cigarette products.


Payment of Minnesota 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 tobacco products are due on the 18th of each month.


Federal Tobacco Sales Taxes 2019 Federal Tobacco Excise Taxes

The price of all tobacco products sold in Minnesota 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/minnesota/tobacco