Utah Legislature: Cigarette tax hike clears House committee

A bill that would impose a $1.70 tax on a pack of cigarettes in Utah cleared a House committee Friday morning on a split vote.

HB196 was opposed by two members of the House Health and Human Services Committee, who noted that the bill amounts to using tax policy to change social behavior.

Retailers who spoke against the measure said Utah's relatively small group of smokers — Utah has fewer tobacco users per capita than any state — are not likely to quit because of the tax increase.

One opponent said Utah smokers will just resort to purchasing tobacco products online or drive to neighboring states. One retailer said lawmakers might as well call the bill the "Evanston Stimulus Package."

Rep. Paul Ray, R-Clearfield, said the $45 million in revenue his bill would generate is a fraction of the $663 million spent in Utah on illnesses and diseases related to smoking.

Those testifying in favor of the bill said if the state really wanted to balance that scale, the tax increase would be $8 per pack.

For more information, visit www.le.state.ut.us/~2010/htmdoc/hbillhtm/HB0196.htm.

— James Thalman