HB 59: Moist Snuff Tobacco Tax
2007 General Session

Sponsor: Rep. Pete Illoway (R-H42, Cheyenne); co-sponsors Reps. Pete Anderson (R-H10, Pine Bluffs), Pat Childers (R-H50, Cody), Floyd Esquibel (D-H44, Cheyenne) and Sens. Hank Coe (R-S18, Cody), Jayne Mockler (D-S8, Cheyenne)

HB 59 would have added a specific tax on moist snuff tobacco, which is currently taxed in a group with all tobacco products other than cigarettes at a rate of 20% of wholesale purchase price. Under HB 59, moist snuff (also known as chew) would have been taxed at a rate of fifty cents ($0.50) per ounce.

It was estimated that the proposed tax on moist snuff would generate about $200,000 in revenue annually.

Supporters noted that purchases of cigarettes in Wyoming dropped 17% after taxes were raised from 12 to 60 cents per pack several years ago. Supporters hoped that increasing the tax on chew tobacco would have a similar affect on consumption of those products, and especially hoped it would deter young people from using chew.

Opponents argued that the tax would be an unfair burden on working class people who would not quit even with the higher tax. Some argued that, rather than taxing all moist snuff tobacco products equally by weight, it would be better to tax those products with a higher nicotine content (which makes them more addictive) at a higher rate.

The House Revenue Committee passed HB 59, 6-3. Representatives Mary Gilmore (D-H59, Casper), David Miller (R-H55, Riverton) and Dave Zwonitzer (R-H9, Cheyenne) were the committee members who voted against HB 59.

During floor debate, the House first amended HB 59 to raise the tax from fifty cents to eighty-five cents per ounce. Then, the House defeated the bill on the final vote (third reading), 26-31 (3 excused).

The votes listed below are the House third reading votes on HB 59. A YES vote means the representative wanted to add a tax of eighty-five cents ($0.85) per ounce to moist snuff (chew) tobacco. A NO vote means the representative did not want to add this tax to chew tobacco.