A regressive sin tax has been proposed in New Mexico. The purpose is to destroy small businesses and benefit the tobacco industry. 

New Mexico lawmakers are considering SB 20, a bill that would increase taxes on cigarettes and tobacco products while re-allocating revenue to a new fund for nicotine use prevention. The bill also appropriates $500,000 for regulatory enforcement, taking effect July 1, 2025. 

 

Business Owners Must Oppose SB 20 

 ✅Higher Taxes Hurt Consumers & Small Businesses 

✅ Disproportionately Impacts Low-Income Consumers – Sin taxes are regressive, meaning they hit lower-income individuals the hardest. 
✅ Punishes Small Vape & Tobacco Retailers – Higher taxes drive consumers to out-of-state or illicit markets, damaging local businesses. 
✅ Encourages cigarette use. Vaping restrictions have been consistently shown to increase sales.

✅ Overburdens Regulatory Efforts – The bill allocates $500,000 for enforcement, diverting resources from more effective public health measures. 

 

? Talking Points for Lawmakers 

Use these points when contacting your representatives: 

? "SB20 will drive business out of state."

? "Sin taxes are regressive and hurt impact low-income consumers, trapping them in cycle of poverty." 

? "New Mexico should support superior alternatives to combustible cigs, not create financial barriers that push people back to tobacco."

? "I cannot support funding a punitive anti-nicotine campaigns that ignore science ." 

 

? Take Action Now! 

 

? Contact your New Mexico state representatives and urge them to vote NO on SB 20. 

? Share this information with fellow advocates, business owners, and consumers. 

? Stay informed on legislative updates and hearings. 

You can find your elected officials using VTA’s Action Center. 

 

? Read more about SB 20 here: 
SB 20 – New Mexico’s Tobacco & Vape Tax Hike 

New Mexico should not tax alternative nicotine products out of existence. Act now to protect consumer choice and small businesses! ?