Increasing tobacco excise taxes is one of the best ways to reduce overall tobacco[i] use. It is important that when considering an excise tax increase on any tobacco product, including e-cigarettes, that the tax should be increased on all tobacco products at an equivalent rate to encourage people to quit rather than switch to a cheaper product, and prevent youth from starting to use any tobacco product. In many states, other tobacco products are taxed at a lower rate than cigarettes, making them an appealing alternative for price-sensitive consumers including youth. Other tobacco products (OTPs) include, but are not limited to, moist snuff, nasal snuff, loose-leaf and plug chewing tobacco, snus, dissolvable tobacco products, cigars, pipe tobacco, roll-your-own tobacco, hookah, e-cigarettes, and nicotine pouches.
[i] ACS CAN recognizes the important role of ceremonial tobacco for many indigenous communities. This term is intended to address commercial tobacco, not the provision, possession, or use of tobacco products as part of an indigenous practice or other recognized religious or spiritual ceremony or practice. All references to tobacco and tobacco products in this fact sheet refer to commercial tobacco.