HB 1896 Mississippi House · 2025 Regular Session

Excise tax; impose on kratom products and revise provisions relating to purchase of tobacco products from outside MS.

HB 1896 imposes a 25% excise tax on kratom products sold within Mississippi, directly affecting consumers who purchase these items. The bill defines "kratom product" as food or dietary supplements containing kratom leaf or extract, and specifies that the tax burden falls on the consumer, though sellers collect it at the point of sale. This tax takes effect July 1, 2025, and also revises Mississippi's tobacco tax rules to require out-of-state tobacco product buyers to pay state excise tax directly to the Department of Revenue.
Bill status signed all 5 stages cleared
Introduction
Feb 2025
Committee Review
Mar 2025
House Passage
Feb 2025
Senate Passage
Mar 2025
Signed into Law
Apr 2025
Introduced Feb 27, 2025 Signed Apr 17, 2025
Maddy AI version diff · 2 comparisons

What changed between versions

As Passed the lower Current version · 5 edits
MODERATE
The bill's title was updated to reflect that it now amends tobacco tax provisions in addition to imposing a new excise tax on kratom. The most significant change is the increase in the kratom excise tax rate from 15% to 25% of the manufacturer's list price. The bill also adds new provisions to Mississippi Code Section 27-69-15, which revise regulations regarding the remittance of tobacco excise tax on products purchased outside Mississippi.
Scope change
The bill's scope expanded from solely addressing kratom taxation to also include amendments to tobacco tax remittance requirements for out-of-state purchases.
FISCAL

Increased the kratom excise tax rate from 15% to 25% of the manufacturer's list price

REQUIREMENT

Added new provisions requiring persons who purchase tobacco products outside Mississippi to remit Mississippi excise tax directly to the Department of Revenue

Added requirements for retailers to report and pay tobacco excise tax on out-of-state tobacco purchases within 48 hours

ENFORCEMENT

Added penalties for wholesalers who refuse to affix required tobacco stamps, including a $25 fine per offense and potential permit forfeiture

SCOPE

Changed the bill title to reflect the addition of tobacco tax amendment provisions

Floor votes · Senate Mar 18, 2025 · House Feb 26, 2025

How they voted

510
Passed
Total votes 51
Mar 18, 2025
D Democratic16
16 Yea
100% Yea
R Republican35
35 Yea
100% Yea
Vote distribution
All Yea All Nay Mixed No data
Full legislative history

Actions timeline

Total actions
19
Key actions
8
Committee
6
Amendments
1
Apr 17, 2025
Signed into law
Approved by Governor
executive
Mar 31, 2025
Lower · Passed
Conference Report Adopted
lower
Mar 28, 2025
Upper · Passed
Conference Report Filed
upper
Mar 18, 2025
Upper · Passed
Passed As Amended
upper
Mar 18, 2025
Upper · Passed
Amended
upper
Mar 17, 2025
Upper · Passed
Title Suff Do Pass As Amended
upper
Mar 4, 2025
Committee
Referred To Finance
upper
Feb 27, 2025
Introduced
Transmitted To Senate
lower
Feb 26, 2025
Lower · Passed
Passed
lower
Feb 25, 2025
Lower · Passed
Title Suff Do Pass
lower
Feb 25, 2025
Committee
Referred To Ways and Means
lower
1 primary · 0 co-sponsors

Sponsors

Role
Legislator
Party
State
District
P
Photo of Kevin Horan
Kevin Horan
RRepublican
MS
34