Increase the cigarette tax and state intent and change provisions relating to the distribution of cigarette tax proceeds

Summary

LB 1124 would increase the tax on cigarettes, add taxes on snuff and certain e‑cigarettes, and direct the extra revenue to a new Medicaid Expense Offset Cash Fund and several existing state funds. The goal is to help cover the more than $120 million a year Nebraska spends on Medicaid for smoking‑related illness. The measure failed and was indefinitely postponed.

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