Sin Tax

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A sin tax is a tax on a good or service that is considered by most to be a vice. Taxes on alcohol and tobacco are the preeminent examples of sin taxes.

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Examples and Tax Rates in Kentucky

  • Alcohol is taxed at 53% [1]
  • Cigarettes are taxed a total of $1.61 dollars per pack; 60 cents per pack by the state[2] and $1.01 dollars per pack by the Federal Government[3].




  1. Brown-Forman ads blast alcohol tax increase
  2. Retailers: Sales up on booze, smokes, ahead of tax
  3. Stop-smoking lines flooded as tobacco tax rises