Two weeks after missing the July 1 deadline, Pennsylvania lawmakers have finally approved budget bills to balance the state's $31.5 billion spending plan, and premium cigars will continue to be exempt from taxation.
Last Wednesday, Gov. Tom Wolf signed a $1.3 billion revenue package that swiftly moved through the Republican-controlled General Assembly, raising taxes on cigarettes, smokeless tobacco, pipe tobacco and vaping products. However, cigars will remain exempt.
House Bill 1198 passed by a vote of 116 to 75 to while the Senate bill was passed by a 28 to 22 vote.
The final agreement levies a $1 tax on cigarettes and little cigars, a 55-cent tax on smokeless and pipe tobacco and a 40 percent tax on vaping products.
Pennsylvania and Florida remain the only states to not tax premium, handmade cigars.