The American Heart Association is applauding Indiana’s decision to raise the tobacco tax by $2 per pack starting July 1.

The new law also adds taxes on other tobacco products, including e-cigarettes.

Tobacco Free Indiana estimates the move will prevent 7,000 young people from starting smoking, help 32,000 adults quit, and save nearly $493 million in health care costs.

The tax is also expected to boost state revenue by about $318 million.

The law sets a 44% wholesale tax on tobacco products and a 26% retail tax on open-system e-cigarettes to match the new cigarette tax.