Tobacco Tax Equity Provision Removed From Build Back Better Act Framework

Written on 29 October 2021.

Today, President Biden and leadership in the House of Representatives agreed to a framework for the Build Back Better Act.

We are happy to report that the Tobacco Tax Equity provision, which was included in earlier versions of the bill and would have resulted in a tremendous increase in the federal tax on cigars because of an unwieldy weight based system, was stripped from the final draft text.

The removal of this harmful language is a victory for the industry and is a testament to the robust lobbying efforts by CRA to fight against the language.

While today’s framework is a positive step forward, it is only a House specific framework. The CRA lobby team continues to engage leadership in the Senate to insure that the language is kept out of the Senate version of the bill.

We will continue to monitor the legislation as it works its way through the legislative process and provide updates as necessary.

To read a copy of the framework, click here.