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Oklahoma Cigarette Tax Hike
Oklahoma cigarette taxes Oklahoma's new cigarette tax may be contributing to a decline in sales for some Oklahoma retailers and an increase for tribal smoke shops, the Associated Press reported.

The tobacco tax increase implemented in February eliminated the sales tax on cigarettes but raised the state tobacco excise tax from 23 cents to $1.03 per pack of cigarettes.

According to Oklahoma Tax Commission data, 62 percent of the tobacco tax stamps, which retailers order and indicate tax amounts for each cigarette pack sold, were sold to non-tribal retailers and 38 percent to the tribes in January 2004. Last month, 51 percent were sold to non-tribal retailers compared with 49 percent to the tribes.

Creek, Cherokee and Osage tribes officials said they aren't seeing growth in tobacco sales.

The Tulsa, Okla.-based convenience store chain QuikTrip Corp. saw a 25 percent decline in cigarette sales and a 30 percent decline in overall profits in January. Other retailers such as Des Moines, Iowa-based Kum & Go and Boise, Idaho-based Albertson's also report decreases in their tobacco sales.

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