Michigan Gov. Gretchen Whitmer’s 2026–27 budget proposal includes new and increased taxes on nicotine and tobacco products, imposing a 57% wholesale tax on vaping products and nicotine pouches, raising the tax on other tobacco products from 32% to 57%, and increasing the cigarette tax from $2 to $3 per pack. The measures are projected to generate about $232 million in additional annual revenue to support Medicaid, smoking cessation, and cancer prevention programs, and will be debated by state lawmakers in early 2026.
Tag: Michigan
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Michigan Senate Advances Bill to License Tobacco Retailers
The Michigan Senate today (December 26) passed bipartisan legislation aimed at reducing youth tobacco use by requiring all tobacco retailers in the state to be licensed. Sponsored by Senate Majority Floor Leader Sam Singh (D–East Lansing) and co-sponsored by Sen. Joseph Bellino (R–Monroe), Senate Bills 462 and 465 would establish a statewide regulatory framework similar to those already in place in most other U.S. states. Michigan is currently one of only nine states without a tobacco retail licensing requirement.
The legislation would introduce regular inspections of tobacco retailers, increase penalties for selling tobacco products to minors, regulate online and delivery sales, ban flash sales, and create a dedicated state fund to support enforcement. The bills now move to the Michigan House for consideration, where companion legislation was introduced earlier this week.
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Michigan Raises Tobacco Purchase Age
Credit: Vitalii Vodolazskyi Michigan has raised the age to purchase tobacco and other products containing nicotine from 18 to 21.
“This legislative package brings Michigan in line with the federal Tobacco 21 legislation, raising the state age for tobacco sales from 18 to 21. The package amends several acts to raise the age of sale for retailers, prohibit anyone under 21 from entering a tobacco retail store, and prohibit tobacco sales through the mail to anyone under 21,” Gov. Gretchen Whitmer stated after signing the bill into law.
The package also revises the disbursement of proceeds from the tax on cigarettes and other tobacco products. Senate Bill 576 also amends a portion of the Michigan penal code to require agents who distribute tobacco through the mail to verify that the recipient is 21 years of age, revising the previous age limit of 18.
The legislation states that the act will not apply to the Youth Tobacco Act, which now prohibits tobacco use for those under 21, rather than 18.
“The Tobacco 21 package aligns Michigan with progress at the federal level, and is an important step in keeping tobacco products out of the wrong hands,” said Senator Paul Wojno. “Kudos to Governor Whitmer for working with the me and my colleagues in the legislature to protect our communities and public health across the state.”