DELAWARE – A Delaware House committee has advanced legislation that would increase taxes on cigarettes and other nicotine products while updating the state’s tobacco licensing system, a move supporters say is aimed at reducing youth use and improving public health.
The House Administration Committee voted Wednesday to release House Substitute 1 for House Bill 215, sponsored by House Speaker Melissa Minor-Brown and Senate President Pro Tempore Dave Sokola.
The bill would raise Delaware’s cigarette tax from about $2.10 to $3.60 per pack and increase taxes on other tobacco and nicotine products. It also expands the definition of tobacco products to include items containing nicotine, such as e-cigarettes and pouches, reflecting changes in the market.
Supporters say the measure would bring Delaware more in line with neighboring states, where cigarette taxes are higher, and help curb rising use of alternative nicotine products among young people.
“Over 1,400 people in Delaware die each year due to tobacco use,” Minor-Brown said, adding that newer products like e-cigarettes are contributing to nicotine addiction among youth.
The legislation would also raise licensing fees for wholesalers, retailers and vending machines, and increase penalties for lost or damaged licenses.
State officials estimate the measure would generate about $18.5 million in fiscal year 2027 and $26.7 million in fiscal year 2028. Supporters say the revenue could help offset the estimated $532 million annual cost of tobacco-related health care in Delaware.
Backers of the bill, including Sokola, say higher taxes are one of the most effective ways to discourage tobacco use, particularly among younger populations.
If approved by the full legislature, the new tax rates would take effect Sept. 1, 2026, with licensing changes beginning Jan. 1, 2027.
