New Jersey Governor Phil Murphy is proposing raising the cigarette sales tax in New Jersey by US$1.65 a pack as part of his third state budget plan, which would be the highest level off cigarette tax among US states.
Currently, cigarettes in New Jersey cost US$2.70 a pack, the 10th highest among US states. The proposed tax hike would increase it to US$4.35 a pack, putting it on par with New York and Connecticut.
Only Washington, D.C. would have a higher cigarette tax, US$4.50. If approved by state lawmakers, the increase in the cigarette tax would be the state’s first in 11 years and would bring in about US$218 million more revenue.