Okla. governor seeks big increase in tobacco tax

Oklahoma Gov. Brad Henry (D) is proposing to raise the state's cigarette excise tax from 23 cents to $1 a pack.

If the tax goes through, several tribes that signed compacts with the state will have to share a portion of their revenues from tobacco sales up front. The money is to be held in a trust fund then a portion is to refunded back to the tribes.

Henry's proposal involves getting rid of state and local sales taxes on cigarettes but the compact would still require tribes to pay the state.

Get the Story:
Governor proposes cigarette tax hike (AP 1/28)

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