Certain cigars exemption from the taxes imposed on tobacco products and premium cigars

This bill exempts from Minnesota's tobacco product taxes the sales of cigars shipped out-of-state for interstate commerce. It directly affects manufacturers and distributors who sell cigars to other states, not local retailers or consumers. The key provision adds that such interstate shipments are excluded from taxes under sections 297F.05(3) and (3a) of Minnesota law. The exemption takes effect July 1, 2025, and does not apply to cigars sold within Minnesota.