Texas Senate Bill SB2140

Texas 2025 - 89th Regular

• Filed: 3/10/25

Caption

Relating to certain tobacco products for purposes of the cigars and tobacco products tax.

Impact

The implications of SB2140 are considerable for both consumers and retailers of tobacco products. By including e-cigarettes in the tobacco tax framework, the bill may lead to increased prices on these products, which could affect consumption patterns. Furthermore, the change seeks to level the playing field between traditional tobacco products and newer alternatives, which have previously enjoyed less regulatory scrutiny. This unified approach might assist in public health efforts aimed at controlling tobacco use among various demographics.

Summary

Senate Bill 2140 addresses the taxation of tobacco products in Texas by amending the definition of what constitutes a 'tobacco product' for tax purposes. The bill expands the definition to include e-cigarettes alongside traditional tobacco products like cigars and chewing tobacco. This legislative change is significant as it aims to bring e-cigarettes under the same regulatory framework as other tobacco products, potentially altering the tax liabilities associated with their sale.

Contention

Debate around SB2140 may arise regarding the inclusion of e-cigarettes within the tobacco tax structure. Proponents argue that regulating e-cigarettes similarly to traditional tobacco products is essential for comprehensive tobacco control. However, opponents may contend that this could unduly burden consumers who prefer e-cigarettes as a potentially less harmful alternative. Moreover, discussions may also involve the impact on small businesses and vendors, who could face challenges related to compliance with the new tax requirements.

Texas Constitutional Statutes Affected

Tax Code

• Chapter 155. Cigars And Tobacco Products Tax
  • Section: 001
  • Section: 0211