State officials said that in July cigarette tax revenue in Illinois more than doubled in comparison to the same period in 2012.
According to data released at the beginning of the week by the Commission on Government Forecasting and Accountability, last month revenue achieved $30 million. In 2012 it achieved $12 million
State Journal-Register wrote that the increase is explained by tax increase by $1 per pack that was approved by the Legislature
Jim Muschinske, state revenue manager, said that till now the most of the money from that tax increase has not shown because when the tax was low most wholesalers stored up cigarette stamps which should be sticked to cigarettes packs before selling in shops. The stamp supply is just now being replaced.
Muschinske said that they are about where they thought they would be.
However, after the cigarettes tax increased from 98 cents to $1.98 last June, there were collected less money than it was expected. Thus the state expected to collect almost $350 million in tobacco taxes during the last fiscal year, however, it collected only $250 million.
Generally speaking, totally Illinois in 2012 collected $813 million from all tobacco taxes. But this year experts predict a fall to $807 million. The main reason of that is reduction of overall spending on tobacco products.
Muschinske said that now they should be back on the old decline trend from this point forward.