PCA and CAA Commission Study on Tax Cap Policies

The Premium Cigar Association (PCA) and Cigar Association of America (CAA) announce that they are collaborating on a national study of cigar tax cap policies enacted and planned throughout the nation.

PCA and CAA have commissioned Goss & Associates led by Dr. Ernie Goss who serves as Chair in Regional Economics at Creighton University to undertake the study. Dr. Goss has published more than 100 studies on economic forecasting and on statistical analysis of business and economic trends.

Specifically the study will evaluate the effectiveness of cigar tax caps as a matter of state policy, the direct and indirect economic impact of premium cigars for each state including local, state and federal taxes.

PCA Executive Director Joshua Habursky commented, “This is a first-of-its-kind study that should produce a historic perspective on cigar tax policy, coupled with an analysis that charts a path forward in the states. Having a study produced by an economist of Dr. Goss’s acclaim is a testament to how serious PCA and CAA are on this pressing issue as we initiate this project.”

CAA President Scott Pearce highlighted the importance for strong economic data to support the industry. “Since 1977, the CAA economic and statistics program has provided actionable insights to support industry advocacy,” Pearce said. “Currently, we find ourselves having to defend existing tax caps, as well as working to advance new cap bills, in addition to addressing reform of statutes in some states. And in this regard, research and substantiated data are the number one requests of state legislatures. CAA is excited to be partnering with PCA to further progress our advocacy with this new study,” Pearce concluded.

The study results are expected to be released later in 2025.