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Higher Minnesota Cigarette Tax Begins - Valley News Live - KVLY/KXJB - Fargo/Grand Forks

Higher Minnesota Cigarette Tax Begins

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Cigarettes will be much more costly in Minnesota starting Monday. New tobacco taxes kick in Monday. That includes a $1.60 increase in the per-pack tax on cigarettes.

The extra charge brings the total tax to $2.83 per pack. It's part of a state budget fix, but has also hailed by public health experts as a way to discourage smoking.

Minnesota will have the nation's 6th highest tax on cigarettes. New York is tops at $4.35.

As part of the tax conversion, retailers must take inventory on packs already in stores.By mid-July they must report their counts to the state and pay a one-time floor stock tax by early September.

Floor tax proceeds have been earmarked to pay debt on the new Minnesota Vikings stadium.

Aside from the cigarette tax, here are a few other laws going into effect in Minnesota.
    

  1. ONLINE TAX: The state will require online retailers to collect sales tax on digital purposes, such as music and video downloads. The top 2 percent of wage earners will pay 2 percentage points more on a slice of their income.
  2. ALCOHOL: Fee-based liquor tastings will be considered legal at properly licensed charitable, club or religious organization events as of July 1. Previously, taste-tests had been limited to wine only.
  3. GAY MARRIAGE: Starting Aug. 1, gay marriage will be legal in Minnesota.
  4. 911 CALLS: Starting Aug. 1, calling 911 with a fake emergency will carry stiffer penalties, up to felony charges if someone is seriously hurt while responding.
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