1All states tax smokeless tobacco 43 states set the tax rate

1)All states tax smokeless tobacco, 43 states set the tax rate on wholesale or manufacturer price (ad valorem), others on unit. US Tobacco has historically had virtually all the market, charging a premium price. But competitors have developed

Solution

US Tobacco lobbies state legislatures to switch from ad valorem to weight basis is one of the best approach. Because in this approach weight basis is a better way for comaring to the other approaches. This approach is better than the Premium price brands and low price brands.