Wisconsin's excise tax per pack of cigarettes: $0.770
Wisconsin's excise tax collection for the
fiscal year ending June 2002: $293,465,000
Sales tax on tobacco products: 5.00%
Federal excise tax per pack of cigarettes: $0.39
Total federal excise tax collections in fiscal year 2002: $7,512,700,000
Click here for the Cigarette Tax and Payment Table for all states.
Tobacco Taxes
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Who Profits from
Cigarette Sales? click for larger view
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Comparing Excise Taxes on Cigarettes, Beer and Wine
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Number of six-packs of beer that must be sold in Wisconsin to produce the same state excise tax revenue generated by one carton of cigarettes: 210.6 |
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Number of bottles of wine that must be sold in Wisconsin to produce the same state excise tax revenue generated by one carton of cigarettes: 155.5 |
Wisconsin Smokers' Contributions
to the State Economy - 2002
Wisconsin smokers comprise only 23.6%1 of the adult population in the state. Here is what they already pay because they choose to buy a legal product:
| Smokers Pay Excise Taxes2 | $ | 293,464,555 |
| Smokers Pay Sales Taxes2 | $ | 77,578,077 |
| Smokers Pay Tobacco Settlement Payments3 | $ | 148,265,951 |
| $ | 519,308,583 |
Smokers' Economic/Tax Profile
- Income
| Wisconsin smokers' median income 20011 | $ | 38,625 |
- Wisconsin State Tax Liability for Median Income Smoker4
| Annual state income tax liability for a couple | $ | 2,240 |
| Annual state income tax liability for a couple with two children | $ | 2,195 |
- Smoker Excise Tax/Sales Tax/Tobacco Settlement Payments Liability5
| Total average paid per Wisconsin smoker in excise and sales taxes | $ | 391 |
| Cost per Wisconsin smoker for settlement payments to Wisconsin | $ | 156 |
| Total annual payment to Wisconsin per smoker | $ | 547 |
Wisconsin Smoker Facts6
- Wisconsin FY2002 smoker payments of $519.3 million were nearly 12 times larger than state excise taxes on alcoholic beverages in 2001 ($44.9 million).
- Smokers' payments in FY2002 were larger than state corporate net income tax collections ($495.4 million).
- The total amount paid by smokers in Wisconsin could fund projected FY2001 spending on:
- Children and Family Services ($238.6 million) OR
- The entire Natural Resources Department budget ($462.5 million) OR
- Economic and Community Development ($71.2 million) AND
Juvenile Correctional Services ($195.7 million) AND
The Wisconsin Technical College System ($181.1 million) AND
Intercollegiate athletics at the University of Wisconsin-Madison ($44.9 million).
- Children and Family Services ($238.6 million) OR
- In 1997, smokers provided 11,052 jobs that paid an additional $16 million to the state in personal and corporate income taxes.7
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CIGARETTES DON'T PAY TAXES -
WISCONSIN SMOKERS DO!!
WISCONSIN SMOKERS DO!!
- Centers for Disease Control's Behavioral Risk Factor Surveillance System, 2001
- Orzechowski & Walker, Arlington, Virginia; latest estimates from state revenue department
- PriceWaterhouseCooper
- State annual income tax liability from PayBreeze software of General Programming, Inc., San Jose, California, which utilizes the Exact Calculation Method.
- U.S. Census Bureau 2001 state population estimate and Centers for Disease Control's Behavioral Risk Surveillance System, 2001
- Tax and Budget Comparisons are from U.S. Census Bureau (online at www.census.gov.) and the State of Wisconsin Department of Administration State Budget Office, State of Wisconsin 2001-2003 Budget in Brief and State of Wisconsin 2001-2003 Executive Budget.
- American Economics Group, Inc., The U.S. Tobacco Industry in 1997: Its Economic Impact in the States.
$483,185,311 has been paid to Wisconsin since the Master Settlement Agreement was signed on November 23, 1998.