Smokers will find it more expensive to light up later this month when the state imposes the first of six annual cigarette tax increases that will pour millions of dollars into health-related programs.

The tax, which some retailers estimate could raise what a smoker pays for a pack by between 20 cents and 50 cents, comes less than two months before a law goes into effect that widens smoking restrictions on O'ahu. Starting Nov. 16, smoking will not be allowed in most enclosed and partially enclosed places of employment and public areas.

While the new restrictions will make it more difficult to find places to smoke, the tax increases are aimed at reducing the growth of smoking among young people. But the state Department of Taxation, mindful that addicted smokers likely will not quit overnight, expect an additional $12 million each year through 2011.

The increase of a penny per cigarette — which this year will raise the tax to 8 cents per cigarette — or 20 cents a pack, will take effect Sept. 30 each year. By 2011, the tax on each cigarette will be 6 cents higher than it is today.

The tax will be levied on cigarette and tobacco wholesalers and dealers. The current tax on a pack of cigarettes — which now costs about $4 to $5 — is $1.40, but that would increase to $2.60 by 2011.

The money the tax generates will go to the Hawai'i Cancer Research Special Fund, the Trauma System Special Fund, the Emergency Medical Services Special Fund and the Community Health Centers Special Fund.

"In terms of cost, the smokers are going to pay for it," said Kurt Kawafuchi, state Director of Taxation. "It is going to help a lot of good causes."

A glitch in the language of the bill passed this year by lawmakers means that the Hawai'i Cancer Research Center will receive only a penny instead of a penny per cigarette. The Legislature will be asked to change that next session, said Johnnel Nakamura, rules officer for the state Department of Taxation.

Nakamura expects that increases will be made all along the line until the costs reach the consumer.

"This is a tax on the wholesaler," she said. "They can choose to pass on to the retailer, who can pass it on to the consumer."

PASSING ON HIGHER COST

At Ohana Cigarette, that's exactly what will happen, said manager Sam Park.

"Absolutely," he said. "I will have to increase, effective Sept. 30 — 20 cents a pack."

Park's customers are bracing for the increase and they're not happy.

"They've been talking about it," he said. "They say they got to quit. Some people do and some people don't. Only smoking people get taxed, and they complain."

Lowell Bakke, manager of Brudda's Liquor and Grocery in Kalihi, thinks the cost will be even higher than 20 cents by the time a pack hits the counter top. "We have to add it on," he said. "I know the wholesalers will tack on a couple of cents, and by the time we get it and round it out, it will be 25 to 40 to 50 cents a pack higher."

$6 PER PACK AT STORE?

After that tax increase, Bakke said the cost of a pack of cigarettes could jump to as much as $6.

When lawmakers approved the tax increase, they noted that a 10 percent increase in the price of cigarettes is thought to reduce the number of new young smokers by 7 percent. Among adults, the drop was 3 percent.

But Bakke, a former smoker, doesn't think the new tax will result in fewer smokers.

"It just hurts the smoker, his pocket or his family's pocket," Bakke said. "It goes up and it means something else they will have to do without — a good dinner or a bowl of saimin. But they are not going to quit."

PRICEY ADDICTION

The cost won't deter one Waimanalo woman who has smoked for nearly 50 years. She didn't want her name used because her husband thinks she quit.

For her, smoking is entirely about addiction. In all her years of smoking — she's 66 — she has quit for a total of six months.

"The new cost will not deter me," she said. "It might curb me a little. Maybe. I'm not sure because when you want a cigarette, you need it."

Reach Mike Gordon at mgordon@honoluluadvertiser.com.