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"Premium cigars in New York could get a good bit cheaper in New York state if a tax change included Gov. Andrew Cuomo’s proposed budget gets adopted.

The governor has proposed moving from a percentage of the wholesale cost to a flat tax of 45 cents per cigar. Currently, the state has a tax rate of 75 percent of the wholesale price, though an industry standard adjustment rate was put into place that reduces that number.

In the case of a cigar with a manufacturer’s suggested retail price of $9.50, the price at the register would drop from approximately $10.93 to $10.40 by halfwheel estimates.

Gov. Cuomo’s budget summary says that “the current tax structure, which is the result of litigation, has resulted in revenue losses and relies on an industry pricing survey to determine the tax on a product produced by the same industry.”

The budget must still go through the legislative approval process, so the tax cut may not come to reality. The state’s fiscal year starts on April 1, which is when the cut could go into effect."


It is a shame that a state has been able to tax a product at a rate of 75% of the wholesale price. Cigar Manor is based out of NJ and our 30% is bad enough. Its funny how states like FL have no tobacco tax and a plethora of other tax related perks for their residents. This is essentially a 5% reduction, not great, but  its a start..

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Written by Cigar Manors Team of Experts — January 25, 2017

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Any tobacco product sales to consumers below the legal minimum purchase age are illegal; Any tobacco product sales are subject to taxes. Cigar Manor abides by all age and tax laws