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Tobacco & Cigarette State Excise Tax for 2026 In a significant fiscal adjustment aimed at restructuring the taxation framework for nicotine based products, the federal government has revised the Federal Excise Duty (FED) on e liquids used in electronic cigarettes, increasing it In the European Union, cigarette smokers pay more in taxes than for the product itself. Under the EU Tobacco Tax Directive, every Member State must levy a minimum excise tax on tobacco Who bears the burden of federal excise taxes? Tax Policy Center Higher Tobacco Taxes Can Improve Health and Raise Revenue Center on Budget and Policy Priorities State Tax Maps Cigar Association of America

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