Cheapest Cigarettes by State: Where Average Cigarette Prices Haven't Skyrocketed

That smoking habit isn't just a financial tradeoff; it's a health tradeoff as well. sweet_tomato / Shutterstock

If you are searching for the cheapest cigarettes by state, you need to know how state excise taxes and federal tax policy collide at the checkout counter. Cigarette prices vary widely across the country, with prices varying significantly from one state line to the next.

The national average for a pack of cigarettes sits well above what smokers pay in the lowest price state, reflecting both a federal tax rate and layers of state cigarette excise taxes. Add in retail price markups and local tax structures, and the price for a pack can swing by several dollars.

Here are 10 states with some of the lowest cigarette excise tax rates. Prices can vary due to local tax structures and local discounts.

1. Missouri

Missouri has the lowest state cigarette excise tax rate.

The state cigarette tax remains well under $1 per pack, compared with high-tax states like New York. Lower taxes mean smokers pay less at the register, but it also means the state collects less in cigarette tax revenues.

2. Virginia

Virginia has a lower state cigarette excise tax rate than many other states.

Lower cigarette prices can influence smoking levels. Research summarized by the American Lung Association shows price sensitivity plays a major role in reducing smoking rates, especially among youth smoking populations.

3. North Carolina

North Carolina, long tied to tobacco products manufacturing, maintains a low state tax on cigarettes. The result is a lower cigarette prices than in many northeastern states and the west coast.

While cigarettes cost less here, public health experts note that smoking rates often track price differences. When prices rise, smoking levels tend to fall, particularly among the average daily smoker.

4. North Dakota

North Dakota has one of the lowest state cigarette excise tax rates in the country.

For an average smoker who buys a pack of cigarettes every day, even a $1 difference per pack adds up to well over $300 per year.

5. Kentucky

Kentucky has a lower state cigarette excise tax rate than many other states.

However, the state also faces high rates of chronic obstructive pulmonary disease and heart disease linked to smoking cigarettes. The CDC details how smoking contributes to lung disease, tooth loss, and other illness related complications.

6. Tennessee

Tennessee has a lower state cigarette excise tax rate than many other states—below many northeastern states and far below Rhode Island.

States often balance smoking costs against the need to generate revenue for general funds and healthcare costs. Higher taxes can generate revenue while also discouraging smoking.

7. South Carolina

South Carolina has a lower state cigarette excise tax rate than New York.

Public health initiatives funded through tobacco taxes aim to reduce adult smoking and youth smoking. Organizations like the Campaign for Tobacco-Free Kids track how states have raised tobacco taxes in recent years to curb smoking.

8. Georgia

Georgia has one of the lowest state cigarette excise tax rates in the country.

Still, smoking costs extend beyond the retail price. The American Cancer Society explains how higher prices reduce smoking rates and lower long-term healthcare costs tied to lung disease.

9. Alabama

Alabama has a lower state cigarette excise tax rate than many other states. The combination of state tax and federal tax shapes the final price.

The federal tax rate currently adds more than $1 per pack nationwide, meaning even the cheapest cigarettes include a significant federal tax component.

10. Mississippi

Mississippi has a lower state cigarette excise tax rate than many northeastern states and the West Coast. Its tax structures keep the average cigarette within reach for many smokers.

But lower prices often correlate with higher smoking levels. Nicotine pouches and other alternatives also carry addiction risks, even if they differ from traditional cigarettes.

We created this article in conjunction with AI technology, then made sure it was fact-checked and edited by a HowStuffWorks editor.