Recent years have seen a hefty rise in cigarette prices. The major reason is the heavy tax imposed on cigarettes by various states in the US. Another reason for the rising price is the series of multibillion dollar suits filed against tobacco manufacturers. Most smokers find discount cigarettes an easy to avoid the impact of taxes.

Online discount cigarettes has become a catchphrase among the patrons of premium brands such as Marlboro, Newport, Doral, Parliament, Camel and Barclay. With the advent of discount cigarettes, one can now enjoy their favorite brand at a much lower cost. Websites displaying the "discount cigarettes online" tag offer a variety of premium and generic cigarette brands at heavily discounted prices, owing to the tax exemption that online sales enjoy. However, "discount cigarettes online" websites desist from supplying cigarettes to some states because of the strict laws that have been applied to online sales.

Online retailers who advertise "discount cigarettes online" generally operate from states that impose lower taxes on cigarettes. They can afford to supply the goods at much lower prices. Businessmen located in reserved Indian lands, where federal tax laws do not apply, also manage "Discount cigarettes online" websites. A large portion of the online sales originate from Indian reserved lands, especially the Seneca lands. A recent study indicates sales from Seneca lands amount to almost $300 million a year.

Websites sporting the "Discount Cigarettes Online" title usually contain a note ensuring complete security of the buyer's personal information. Most buyers are apprehensive of the possibility of federal or state agencies tracking them down to pay taxes. However, in most cases, local taxes do not apply to online sales. Moreover, the cigarettes ordered through a website are usually delivered through mail, which attracts no tax.