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§ 12-105. Tax rate

West's Annotated Code of MarylandTax-GeneralEffective: July 1, 2022

West's Annotated Code of Maryland
Tax-General (Refs & Annos)
Title 12. Tobacco Tax (Refs & Annos)
Subtitle 1. Definitions; General Provisions (Refs & Annos)
Effective: July 1, 2022
MD Code, Tax - General, § 12-105
§ 12-105. Tax rate
Base rate
(a) The tobacco tax rate for cigarettes is:
(1) $3.75 for each package of 20 cigarettes; and
(2) 17.5 cents for each cigarette in a package of more than 20 cigarettes.
Supplemental rate
(b)(1) Except as provided in paragraph (2) of this subsection, the tobacco tax rate for other tobacco products is 53% of the wholesale price of the tobacco products.
(2)(i) In this paragraph, “pipe tobacco” and “premium cigars” have the meanings stated in § 16.5-101 of the Business Regulation Article.
(ii) 1. Except as provided in subsubparagraph 2 of this subparagraph, the tobacco tax rate for cigars is 70% of the wholesale price of the cigars.
2. The tobacco tax rate for premium cigars is 15% of:
A. the wholesale price of the premium cigars; or
B. for premium cigars sold by an out-of-state seller, the price determined under subsection (c) of this section.
(iii) The tobacco tax rate for pipe tobacco is 30% of:
1. the wholesale price of the pipe tobacco; or
2. for pipe tobacco sold by an out-of-state seller, the price determined under subsection (c) of this section.
Premium cigars and pipe tobacco sold by an out-of-state seller
(c)(1) For premium cigars and pipe tobacco sold by an out-of-state seller, the tobacco tax rate applies to:
(i) the actual price paid by an out-of-state seller for a stock keeping unit; or
(ii) if the actual price paid by an out-of-state seller for a stock keeping unit is not available, the average of the actual price paid by an out-of-state seller for a stock keeping unit over the 12 calendar months before January 1 of the year in which the sale occurs.
(2) The Comptroller shall adopt regulations to implement this subsection.

Credits

Added by Acts 1988, c. 2, § 1, eff. Jan. 1, 1989. Amended by Acts 1988, c. 284; Acts 1991, c. 671, § 1; Acts 1992, c. 1, § 1; Acts 1999, c. 121, § 2, eff. July 1, 2000; Acts 2002, c. 288, § 16, eff. June 1, 2002; Acts 2003, c. 20, § 1, eff. April 8, 2003; Acts 2007, 1st Sp. Sess., c. 6, § 3, eff. Jan. 1, 2008; Acts 2012, 1st Sp. Sess., c. 2, § 2, eff. July 1, 2012; Acts 2021, c. 37, § 1, eff. March 14, 2021; Acts 2021, c. 767, § 2, eff. July 1, 2022; Acts 2021, c. 768, § 2, eff. July 1, 2022.
Formerly Art. 81, §§ 432, 433.
MD Code, Tax - General, § 12-105, MD TAX GENERAL § 12-105
Current with all legislation from the 2023 Regular Session of the General Assembly. Some statute sections may be more current, see credits for details.
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