New report reveals Indiana must focus on increasing tobacco tax

'In 2025, policymakers in Indiana must focus on increasing the tax on all tobacco products, increasing funding for Indiana’s tobacco prevention and cessation commission, and passing state and local laws that eliminate smoking, including e-cigarette use, in all public places and workplaces.'

A new report from the American Lung Association urges Indiana lawmakers to focus on increasing the tax on all tobacco products to reduce the overwhelming human and financial burden of tobacco use. The 2025 “State of Tobacco Control” report evaluates state and federal policies on actions taken to eliminate tobacco use and recommends proven-effective tobacco control laws and policies to prevent nicotine dependence and protect kids.

In the 2025 report, Indiana received the following grades:

• Funding for State Tobacco Prevention Programs – Grade F
• Strength of Smokefree Workplace Laws – Grade C
• Level of State Tobacco Taxes – Grade F
• Coverage and Access to Services to Quit Tobacco – Grade C
• Ending the Sale of All Flavored Tobacco Products – Grade F

“In addition to grading Indiana’s tobacco control policies, this year’s ‘State of Tobacco Control’ report examines the tobacco industry’s increasingly aggressive actions to addict a new generation to tobacco and hinder proven public policies to prevent and reduce tobacco use,” said Tiffany Nichols, director of advocacy at the American Lung Association in Indiana. “Here in Indiana, we are seeing tobacco industry lobbyists at the local level working to stop or weaken proven tobacco control policies. The tobacco industry is also introducing new products that appeal to youth like e-cigarettes that mimic smartphones, kid-friendly flavors and flavored nicotine pouches that are heavily marketed by social media influencers.”

Nichols added: “In 2025, policymakers in Indiana must focus on increasing the tax on all tobacco products, increasing funding for Indiana’s tobacco prevention and cessation commission, and passing state and local laws that eliminate smoking, including e-cigarette use, in all public places and workplaces.”

Increasing taxes on all tobacco products, including e-cigarettes, is considered one of the most effective ways to reduce tobacco use, especially among youth. Multiple studies have shown that every 10 percent increase in the price of cigarettes reduces consumption by about 4 percent among adults and about 7 percent among youth. The American Lung Association recommends that Indiana increase its tax on cigarettes by $2 per pack and make the tax on other tobacco products equal to the cigarette tax.

Federal Grades Overview

The 2025 “State of Tobacco Control” report grades the federal government in five areas:

• Federal Government Regulation of Tobacco Products – Grade C
• Federal Coverage of Quit Smoking Treatments – Grade D
• Level of Federal Tobacco Taxes – Grade F
• Federal Mass Media Campaigns to Prevent and Reduce Tobacco Use – Grade: A
• Federal Minimum Age of Sale for Tobacco Products to 21 – Grade: A

The 2025 “State of Tobacco Control” report urges Congress to provide additional funding to the U.S. Food and Drug Administration so it can enforce against and remove all illegal e-cigarettes the tobacco industry has introduced to the market.

To learn more about this year’s “State of Tobacco Control” grades, visit Lung.org/sotc.