Voter Guide: Missouri Proposition A increase on cigarette tax

Published: Oct. 18, 2016 at 2:50 PM CDT
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(Source: KFVS)
(Source: KFVS)

MISSOURI (KFVS) - Voters in Missouri will be asked to vote on two separate cigarette taxes when they cast their ballots in November.

If passed, proposition A would increase the tax on cigarettes from 17 cents to 23 cents by 2021.

Official Ballot Language:

Shall Missouri law be amended to:

State government revenue will increase by approximately $95 million to $103 million annually when cigarette and tobacco tax increases are fully implemented, with the new revenue earmarked for transportation infrastructure. Local government revenues could decrease approximately $3 million annually due to decreased cigarette and tobacco sales.

Background information:

The current tax on a pack of 20 cigarettes is 17 cents.

If passed, Proposition A would increase the cigarette tax by 13 cents in January 2017, another 5 cents in January 2019, and a final 5 cents in January 2021.

By 2021, the total tax would increase to 23 cents per pack.

The measure would also tax non-cigarette tobacco products 5 percent of the manufacturer's invoice price, paid by the seller. Tax revenue would be used to fund transportation infrastructure projects.

According to Ballotpedia, the state government expects to generate between $95 million and $103 million per year in new tax revenue once the taxes are fully in force.

Voters will also be asked to vote yes or no on Amendment 3, which wold increase the current cigarette to 77 cents by 2020. This measure would also include a fee on wholesalers.

If both measures pass, the measure with the most "yes" votes will become law.

What does my vote mean?

A "yes" vote will increase taxes on cigarettes in 2017, 2019, and 2021, at which point this additional tax will total 23 cents per pack of 20. This amendment also increases the tax paid by sellers on other tobacco products by 5 percent of manufacturer's invoice price. This amendment further provides that the funds generated by these taxes shall be used exclusively to fund transportation infrastructure projects. These taxes are repealed if a measure to increase any tax or fee on cigarettes or other tobacco products is certified to appear on any local or statewide ballot.

A "no" vote will not amend Missouri law relating to taxes on cigarettes and other tobacco products.

If passed, this measure will increase taxes on cigarettes and other tobacco products.

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