Senators Look to Raise Cigarette Tax

A West Virginia Senate panel wants a bigger tobacco tax hike than Gov. Earl Ray Tomblin has proposed. The Republican-led committee tweaked the Democratic governor’s bill this week and it heads to the Senate floor. Tomblin’s plan would have raised the cigarette tax by 45 cents to $1, raised a tax on other tobacco products and taxed e-cigarettes. It would have yielded $78 million additional annually and $18.9 million to help balance the 2016 budget. Instead, senators approved an amendment to increase the tax by $1 to $1.55, and dedicate the money to state employee and retiree health plans. It would bring in $112.5 million more annually, not just $78 million. Senators said the change would aid health plans beyond 2017.