AI-generated summary. We recommend consulting the bill text for important decisions.

Starting July 1, 2026, this bill raises taxes on several nicotine products in Utah: the cigarette tax increases from roughly 8.5–9.9 cents per cigarette to a flat 11 cents per cigarette, the tax on electronic cigarettes and nontherapeutic nicotine devices rises from 56% to 71% of the manufacturer's sales price, and the tax on alternative nicotine products (like nicotine pouches) shifts from a weight-based rate to either a flat per-pouch rate or 73% of the manufacturer's sales price depending on the product type. The bill also imposes a one-time transitional inventory tax on cigarettes already stamped at the old rate that are sold on or after July 1, 2026, and directs any revenue from the e-cigarette and nicotine product tax increases above $15.9 million to the state's General Fund rather than the restricted account currently used for prevention and cessation programs. Utahns who use cigarettes, vaping products, or nicotine pouches will likely see higher retail prices as these tax increases are passed along the supply chain.