§ 5701. Rate of tax

§ 5701. Rate of tax

(a) Cigars On cigars, manufactured in or imported into the United States, there shall be imposed the following taxes:

Cigars not exempt from tax under this chapter which are removed but not intended for sale shall be taxed at the same rate as similar cigars removed for sale.

(1) Small cigars On cigars, weighing not more than 3 pounds per thousand, $50.33 per thousand;

(2) Large cigars On cigars weighing more than 3 pounds per thousand, a tax equal to 52.75 percent of the price for which sold but not more than 40.26 cents per cigar.

(b) Cigarettes On cigarettes, manufactured in or imported into the United States, there shall be imposed the following taxes:

(1) Small cigarettes On cigarettes, weighing not more than 3 pounds per thousand, $50.33 per thousand;

(2) Large cigarettes On cigarettes, weighing more than 3 pounds per thousand, $105.69 per thousand; except that, if more than 6½ inches in length, they shall be taxable at the rate prescribed for cigarettes weighing not more than 3 pounds per thousand, counting each 2¾ inches, or fraction thereof, of the length of each as one cigarette.

(c) Cigarette papers On cigarette papers, manufactured in or imported into the United States, there shall be imposed a tax of 3.15 cents for each 50 papers or fractional part thereof; except that, if cigarette papers measure more than 6½ inches in length, they shall be taxable at the rate prescribed, counting each 2¾ inches, or fraction thereof, of the length of each as one cigarette paper.

(d) Cigarette tubes On cigarette tubes, manufactured in or imported into the United States, there shall be imposed a tax of 6.30 cents for each 50 tubes or fractional part thereof, except that if cigarette tubes measure more than 6½ inches in length, they shall be taxable at the rate prescribed, counting each 2¾ inches, or fraction thereof, of the length of each as one cigarette tube.

(e) Smokeless tobacco On smokeless tobacco, manufactured in or imported into the United States, there shall be imposed the following taxes:

(1) Snuff On snuff, $1.51 per pound and a proportionate tax at the like rate on all fractional parts of a pound.

(2) Chewing tobacco On chewing tobacco, 50.33 cents per pound and a proportionate tax at the like rate on all fractional parts of a pound.

(f) Pipe tobacco On pipe tobacco, manufactured in or imported into the United States, there shall be imposed a tax of $2.8311 cents per pound (and a proportionate tax at the like rate on all fractional parts of a pound).

(g) Roll-your-own tobacco On roll-your-own tobacco, manufactured in or imported into the United States, there shall be imposed a tax of $24.78 per pound (and a proportionate tax at the like rate on all fractional parts of a pound).

(h) Imported tobacco products and cigarette papers and tubes The taxes imposed by this section on tobacco products and cigarette papers and tubes imported into the United States shall be in addition to any import duties imposed on such articles, unless such import duties are imposed in lieu of internal revenue tax.

(Aug. 16, 1954, ch. 736, 68A Stat. 705; Mar. 30, 1955, ch. 18, § 3(a)(9), 69 Stat. 14; Mar. 29, 1956, ch. 115, § 3(a)(9), 70 Stat. 66; Pub. L. 85–12, § 3(a)(7), Mar. 29, 1957, 71 Stat. 9; Pub. L. 85–475, § 3(a)(7), June 30, 1958, 72 Stat. 259; Pub. L. 85–859, title II, § 202, Sept. 2, 1958, 72 Stat. 1414; Pub. L. 86–75, § 3(a)(7), June 30, 1959, 73 Stat. 157; Pub. L. 86–564, title II, § 202(a)(9), June 30, 1960, 74 Stat. 290; Pub. L. 86–779, § 1, Sept. 14, 1960, 74 Stat. 998; Pub. L. 87–72, § 3(a)(9), June 30, 1961, 75 Stat. 193; Pub. L. 87–508, § 3(a)(8), June 28, 1962, 76 Stat. 114; Pub. L. 88–52, § 3(a)(9), June 29, 1963, 77 Stat. 72; Pub. L. 88–348, § 2(a)(9), June 30, 1964, 78 Stat. 237; Pub. L. 89–44, title V, §§ 501(f), 502(a), June 21, 1965, 79 Stat. 150; Pub. L. 90–240, § 4(a), Jan. 2, 1968, 81 Stat. 776; Pub. L. 94–455, title XIX, § 1905(a)(24), title XXI, § 2128(a), Oct. 4, 1976, 90 Stat. 1821, 1921; Pub. L. 97–248, title II, § 283(a), Sept. 3, 1982, 96 Stat. 568; Pub. L. 99–272, title XIII, § 13202(a), Apr. 7, 1986, 100 Stat. 311; Pub. L. 100–647, title V, § 5061(a), Nov. 10, 1988, 102 Stat. 3679; Pub. L. 101–508, title XI, § 11202(a)–(f), Nov. 5, 1990, 104 Stat. 1388–419; Pub. L. 105–33, title IX, § 9302(a)–(g)(1), (h)(3), Aug. 5, 1997, 111 Stat. 671, 672, 674; Pub. L. 111–3, title VII, § 701(a)–(g), Feb. 4, 2009, 123 Stat. 106, 107; Pub. L. 115–141, div. U, title IV, § 401(a)(250), Mar. 23, 2018, 132 Stat. 1196.)

Editorial Notes

Amendments

2018—Subsec. (e). Pub. L. 115–141 substituted “manufactured” for “manufacturered” in introductory provisions.

2009—Subsec. (a)(1). Pub. L. 111–3, § 701(a)(1), substituted “$50.33 per thousand” for “$1.828 cents per thousand ($1.594 cents per thousand on cigars removed during 2000 or 2001)”.

Subsec. (a)(2). Pub. L. 111–3, § 701(a)(2), (3), substituted “52.75 percent” for “20.719 percent (18.063 percent on cigars removed during 2000 or 2001)” and “40.26 cents per cigar” for “$48.75 per thousand ($42.50 per thousand on cigars removed during 2000 or 2001)”.

Subsec. (b)(1). Pub. L. 111–3, § 701(b)(1), substituted “$50.33 per thousand” for “$19.50 per thousand ($17 per thousand on cigarettes removed during 2000 or 2001)”.

Subsec. (b)(2). Pub. L. 111–3, § 701(b)(2), substituted “$105.69 per thousand” for “$40.95 per thousand ($35.70 per thousand on cigarettes removed during 2000 or 2001)”.

Subsec. (c). Pub. L. 111–3, § 701(c), substituted “3.15 cents” for “1.22 cents (1.06 cents on cigarette papers removed during 2000 or 2001)”.

Subsec. (d). Pub. L. 111–3, § 701(d), substituted “6.30 cents” for “2.44 cents (2.13 cents on cigarette tubes removed during 2000 or 2001)”.

Subsec. (e)(1). Pub. L. 111–3, § 701(e)(1), substituted “$1.51” for “58.5 cents (51 cents on snuff removed during 2000 or 2001)”.

Subsec. (e)(2). Pub. L. 111–3, § 701(e)(2), substituted “50.33 cents” for “19.5 cents (17 cents on chewing tobacco removed during 2000 or 2001)”.

Subsec. (f). Pub. L. 111–3, § 701(f), substituted “$2.8311 cents” for “$1.0969 cents (95.67 cents on pipe tobacco removed during 2000 or 2001)”.

Subsec. (g). Pub. L. 111–3, § 701(g), substituted “$24.78” for “$1.0969 cents (95.67 cents on roll-your-own tobacco removed during 2000 or 2001)”.

1997—Subsec. (a)(1). Pub. L. 105–33, § 9302(b)(1), substituted “$1.828 cents per thousand ($1.594 cents per thousand on cigars removed during 2000 or 2001)” for “$1.125 cents per thousand (93.75 cents per thousand on cigars removed during 1991 or 1992)”.

Subsec. (a)(2). Pub. L. 105–33, § 9302(b)(2), substituted “equal to 20.719 percent (18.063 percent on cigars removed during 2000 or 2001) of the price for which sold but not more than $48.75 per thousand ($42.50 per thousand on cigars removed during 2000 or 2001).” for “equal to—

“(A) 10.625 percent of the price for which sold but not more than $25 per thousand on cigars removed during 1991 or 1992, and

“(B) 12.75 percent of the price for which sold but not more than $30 per thousand on cigars removed after 1992.”

Subsec. (b)(1). Pub. L. 105–33, § 9302(a)(1), substituted “$19.50 per thousand ($17 per thousand on cigarettes removed during 2000 or 2001)” for “$12 per thousand ($10 per thousand on cigarettes removed during 1991 or 1992)”.

Subsec. (b)(2). Pub. L. 105–33, § 9302(a)(2), substituted “$40.95 per thousand ($35.70 per thousand on cigarettes removed during 2000 or 2001)” for “$25.20 per thousand ($21 per thousand on cigarettes removed during 1991 or 1992)”.

Subsec. (c). Pub. L. 105–33, § 9302(h)(3), substituted “On cigarette papers,” for “On each book or set of cigarette papers containing more than 25 papers,”.

Pub. L. 105–33, § 9302(c), substituted “1.22 cents (1.06 cents on cigarette papers removed during 2000 or 2001)” for “0.75 cent (0.625 cent on cigarette papers removed during 1991 or 1992)”.

Subsec. (d). Pub. L. 105–33, § 9302(d), substituted “2.44 cents (2.13 cents on cigarette tubes removed during 2000 or 2001)” for “1.5 cents (1.25 cents on cigarette tubes removed during 1991 or 1992)”.

Subsec. (e)(1). Pub. L. 105–33, § 9302(e)(1), substituted “58.5 cents (51 cents on snuff removed during 2000 or 2001)” for “36 cents (30 cents on snuff removed during 1991 or 1992)”.

Subsec. (e)(2). Pub. L. 105–33, § 9302(e)(2), substituted “19.5 cents (17 cents on chewing tobacco removed during 2000 or 2001)” for “12 cents (10 cents on chewing tobacco removed during 1991 or 1992)”.

Subsec. (f). Pub. L. 105–33, § 9302(f), substituted “$1.0969 cents (95.67 cents on pipe tobacco removed during 2000 or 2001)” for “67.5 cents (56.25 cents on pipe tobacco removed during 1991 or 1992)”.

Subsecs. (g), (h). Pub. L. 105–33, § 9302(g)(1), added subsec. (g) and redesignated former subsec. (g) as (h).

1990—Subsec. (a)(1). Pub. L. 101–508, § 11202(a)(1), substituted “$1.125 cents per thousand (93.75 cents per thousand on cigars removed during 1991 or 1992)” for “75 cents per thousand”.

Subsec. (a)(2). Pub. L. 101–508, § 11202(a)(2), substituted “equal to—” and subpars. (A) and (B) for “equal to 8½ percent of the wholesale price, but not more than $20 per thousand.”

Subsec. (b)(1). Pub. L. 101–508, § 11202(b)(1), substituted “$12 per thousand ($10 per thousand on cigarettes removed during 1991 or 1992)” for “$8 per thousand”.

Subsec. (b)(2). Pub. L. 101–508, § 11202(b)(2), substituted “$25.20 per thousand ($21 per thousand on cigarettes removed during 1991 or 1992)” for “$16.80 per thousand”.

Subsec. (c). Pub. L. 101–508, § 11202(c), substituted “0.75 cent (0.625 cent on cigarette papers removed during 1991 or 1992)” for “½ cent”.

Subsec. (d). Pub. L. 101–508, § 11202(d), substituted “1.5 cents (1.25 cents on cigarette tubes removed during 1991 or 1992)” for “1 cent”.

Subsec. (e)(1). Pub. L. 101–508, § 11202(e)(1), substituted “36 cents (30 cents on snuff removed during 1991 or 1992)” for “24 cents”.

Subsec. (e)(2). Pub. L. 101–508, § 11202(e)(2), substituted “12 cents (10 cents on chewing tobacco removed during 1991 or 1992)” for “8 cents”.

Subsec. (f). Pub. L. 101–508, § 11202(f), substituted “67.5 cents (56.25 cents on pipe tobacco removed during 1991 or 1992)” for “45 cents”.

1988—Subsecs. (f), (g). Pub. L. 100–647 added subsec. (f) and redesignated former subsec. (f) as (g).

1986—Subsecs. (e), (f). Pub. L. 99–272 added subsec. (e) and redesignated former subsec. (e) as (f).

1982—Subsec. (b)(1). Pub. L. 97–248, § 283(a)(1), substituted “$8” for “$4”.

Subsec. (b)(2). Pub. L. 97–248, § 283(a)(2), substituted “$16.80” for “$8.40”.

1976—Subsec. (a). Pub. L. 94–455, § 2128(a), substituted provisions setting a tax of 8½ percent of the wholesale price, but not more than $20 per thousand, on cigars weighing more than 3 pounds per thousand for provisions setting the tax according to a graduated table running from $2.50 per thousand for large cigars if removed to retail at not more than 2½ cents each to $20 per thousand if removed to retail at more than 20 cents each, and struck out provisions that, in determining the retail price, for tax purposes, regard be had to the ordinary retail price of a single cigar in its principal market, exclusive of any State or local taxes imposed on cigars as a commodity, and that, for purposes of that determination, the amount of State or local tax excluded from the retail price be the actual tax imposed, except that, if the combined taxes resulted in a numerical figure ending in a fraction of a cent, the amount so excluded would be rounded to the next highest full cent unless such rounding would result in a tax lower than the tax which would be imposed in the absence of State or local tax.

Subsec. (e). Pub. L. 94–455, § 1905(a)(24), inserted “, unless such import duties are imposed in lieu of internal revenue tax” after “such articles”.

1968—Subsec. (a). Pub. L. 90–240 provided that the amount of State and local tax excluded from the retail price be the actual tax imposed, except that, if the combined taxes result in a numerical figure ending in a fraction of a cent, the amount so excluded be rounded to the next highest full cent unless such rounding would result in a tax lower than the tax which would be imposed in the absence of State and local taxes.

1965—Pub. L. 89–44, § 502(a), struck out subsec. (a) relating to tobacco and redesignated subsecs. (b) to (f) as subsecs. (a) to (e), respectively.

Subsec. (b)(1). Pub. L. 89–44, § 501(f), removed the July 1, 1965, time limit for the $4 per thousand rate as well as the provision for imposition of a $3.50 rate on and after July 1, 1965.

1964—Subsec. (c)(1). Pub. L. 88–348 substituted “July 1, 1965” for “July 1, 1964” in two places.

1963—Subsec. (c)(1). Pub. L. 88–52 substituted “July 1, 1964” for “July 1, 1963” in two places.

1962—Subsec. (c)(1). Pub. L. 87–508 substituted “July 1, 1963” for “July 1, 1962” in two places.

1961—Subsec. (c)(1). Pub. L. 87–72 substituted “July 1, 1962” for “July 1, 1961” in two places.

1960—Subsec. (b). Pub. L. 86–779 substituted “imposed on cigars as a commodity” for “imposed on the retail sales of cigars”.

Subsec. (c)(1). Pub. L. 86–564 substituted “July 1, 1961” for “July 1, 1960” in two places.

1959—Subsec. (c)(1). Pub. L. 86–75 substituted “July 1, 1960” for “July 1, 1959” in two places.

1958—Subsec. (b). Pub. L. 85–859 provided that in determining the retail price, for tax purposes, regard shall be had to the ordinary retail price of a single cigar in its principal market, exclusive of any State or local taxes imposed on the retail sale of cigars, and required cigars not exempt from tax under this chapter which are removed but not intended for sale to be taxed at the same rate as similar cigars removed for sale.

Subsec. (c)(1). Pub. L. 85–475 substituted “July 1, 1959” for “July 1, 1958” in two places.