The Arkansas General Assembly is considering a bill (House Bill 1565) that would provide funding for a National Cancer Institute-designated cancer center in Arkansas and would offer a tax reduction for modified-risk tobacco products. If enacted, the bill would trigger an automatic 25 to 50 percent excise tax reduction for a product that is designated as a modified-risk tobacco product by the U.S. Department of Health and Human Services. The current excise tax on cigarettes in Arkansas is $1.15 per pack, which generated revenue of nearly $165 million in state fiscal year 2018.
Our new explainer looks at modified-risk tobacco products and the process for obtaining status as a modified-risk tobacco product.
