Hookah Clarification Act of 2025

This bill would set a clear federal tax for waterpipe (hookah) tobacco. It defines “waterpipe tobacco” to include hookah tobacco, shisha, maassel, narghile, and argileh. Waterpipe tobacco would be taxed at $0.5662 per pound, while other pipe tobacco (not used in a waterpipe) would be taxed at $2.8311 per pound.

The changes would start once the bill becomes law and would apply to tobacco made or imported after that date. This could affect prices for hookah tobacco and the businesses that make or import it.

Key points

• What changes: A new federal tax rate for waterpipe (hookah) tobacco at $0.5662 per pound; other pipe tobacco stays at $2.8311 per pound.
• Who is affected: Makers and importers of hookah/shisha products; consumers may see price changes.
• When: Applies to products made or imported after the law takes effect.