Tobacco Definitions
A) Smoking Tobacco is a form of loose tobacco that is smoked/inhaled via papers/tubes or smoking devices (e.g. cigarette, hookah, pipe tobacco).
B) Moist Snuff is a form of smokeless tobacco that is sometimes referred to as snuff. Moist tobacco is typically finely ground and sold in (round) tins, either in loose form or in small pre-packaged quantities (e.g. moist tobacco, snus, wet snuff).
C) Cigar means any roll of tobacco wrapped in leaf tobacco or in any substance containing tobacco (e.g. little cigars, cigarillos, cigars) with an invoice price* (before discounts) less than $0.7576 per cigar.
D) Other tobacco means tobacco products that are not specifically smoking, moist snuff, or cigar
products (e.g. chewing tobacco, plug tobacco, twist tobacco, cigar wraps, blunt wraps, dry snuff).
E) Premium Cigar means any roll of tobacco wrapped in leaf tobacco or in any substance containing tobacco (e.g. little cigars, cigarillos, cigars) with an invoice price* (before discounts) equal to or greater than $0.7576 per cigar.
*”Invoice price” means the price that a wholesaler or retailer of tobacco products pays to a manufacturer, importer, or distributor for tobacco products that the wholesaler or retailer subsequently sells in the state.
Taxpayer Base
The excise tax is reported and paid by 1) licensed wholesalers or distributors making the first sale in the State of Arkansas or 2) Arkansas consumers who purchase untaxed tobacco products from outside the State of Arkansas. In the absence of Arkansas tax being paid on the tobacco products, the consumer is required to self-report the tax due.
Tax Rates
Smoking tobacco, moist snuff, cigars, and other tobacco are taxed at 68% of manufacturer’s invoiced selling price prior to any discount.
The premium cigar tax is the sum of 1) $0.50 per premium cigar and 2) 2% of manufacturer’s invoiced selling price prior to any discount.
Applicable Arkansas Statutes
§26-57-201 et seq., §26-57-801 et seq., §26-57-1101 et seq., §26-57-1301 et seq.
Instructions
| Title | Posted |
| Other Tobacco Products Manufacturer and Brand Family Codes | 01/20/2023 |
| Instructions | 03/26/2014 |
