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Tax on tobacco products like glassware passes Iowa Senate, but could be lowered in House version Senate File 363 approved taxing glass pipes at 40% in February. However, House members have proposed lowering the tax to 20%. Author: Lakyn McGee Updated: 7:03 PM CDT April 22, 2021 DES MOINES, Iowa — A bill in the Iowa House that could increase sales tax on glass pipes used to smoke combustion tobacco and hemp is being reevaluated. Senate File 363 approved taxing glass pipes at 40% in February. However, House, members have proposed lowering the tax to 20%. "We’...

Iowa would levy a new tax of at least 20% on the sale of glass and metal pipes designed for smoking tobacco and other substances, and require the retailers who sell the pipes to obtain a separate permit, under a bill the Legislature is advancing this session.  The revenue from the tax and permit fees would support specialty courts that address substance use disorder and mental health issues, according to Senate File 363. It unanimously passed the Senate and is moving through committees in the House.  Lawmakers are still determining the amount of the tax.  The Senate approved taxi...