Vape Taxes by State (Table)
| State | Vape Tax/ E-Cig Tax |
| Alabama | no tax |
| Alaska | no tax |
| Arizona | no tax |
| Arkansas | no tax |
...
Table Key.
| State | Vape Tax/ E-Cig Tax | Is Non-Nicotine E-Liquid Taxable? |
|---|---|---|
| New Jersey | 10% of retail open, $0.10/ml closed | No |
| New Mexico | 12.5% of VALM open, $0.50/cartridge closed | Yes |
| New York | 20% retail | Yes |
| North Carolina | $0.05/ml | No |
Which states have no vape taxes?
Vape Taxes by State (Table) State Vape Tax & E-Cig Tax Alabama no tax Alaska no tax Arizona no tax Arkansas no tax 47 more rows ...
Which countries have a national vape tax?
The first country to impose a national vape tax was the Republic of Korea (ROK, usually called South Korea in the West)—in 2011, the same year Minnesota began taxing e-liquid. Currently the country has four separate taxes on e-liquid, each earmarked for a specific spending purpose (the National Health Promotion Fund is one).
Is there a federal tax on vapor products?
There is no federal tax on vapor products. This week’s map shows where state vapor taxes stand as of June 1, 2020. Vapor taxing methods vary. Authorities tax base d on price ( ad valorem ), volume (specific), or with a bifurcated system that has different rates for open and closed tank systems.
Is there a vape tax in Pennsylvania?
Pennsylvania Probably the best-known vape tax in the country is Pennsylania’s 40% wholesale tax. It originally was assessed on all vapor products, but a court ruled in 2018 that the tax can only be applied to e-liquid and devices that include e-liquid.
Is there a vape tax in Florida?
Smoke-free tobacco/snuff are subject to a state excise tax of 85% / wholesale price (including a 60% surcharge.) Vapor products do not have an additional state excise tax.
Is there a federal tax on vaping?
There is no federal tax on vaping products in the U.S. Bills have been introduced in Congress to tax vapes, but none has so far gained the traction necessary to pass.
Is vape juice taxed?
There is no federal tax on vapor products.
How many U.S. states and territories have excise or special taxes Non sales tax on e-cigarettes?
So far, 28 states and the District of Columbia have imposed an excise tax on vaping products.
What state has the highest vape tax?
Vape Taxes by State Table. Which State Has the Highest Tax Rate?...Table Key.StateVape Tax/ E-Cig TaxIs Non-Nicotine E-Liquid Taxable?California63.49% VALMNoColorado35% VALMNoConnecticut10% VALW open, $0.40/ml closedNoDelaware$0.05/mlNo47 more rows
How much is vape tax in Ohio?
Vapor products are subject to an additional 10¢ per mL state excise tax. Smoke-free tobacco products are subject to a state excise tax of 17% of the wholesale price.
Does California have a vape tax?
Beginning July 1, 2022, electronic cigarette retailers are required to collect from the purchaser at the time of sale, a California Electronic Cigarette Excise Tax (CECET) at the rate of 12.5 percent of the retail selling price of electronic cigarettes containing or sold with nicotine.
How much is vape tax in Illinois?
15 percentThe tax rate for electronic cigarettes under the Tobacco Products Tax Act is 15 percent of the wholesale price of products sold or otherwise disposed of during the month.
How much is tax on JUUL pods in California?
CDA supported the legislation, Senate Bill 395, which imposes a 12.5% retail sales tax on the sales price of all e-cigarettes sold in California.
What state has the cheapest cigarette tax?
Cigarette & Tobacco Tax Rate Table. Which State Has the Highest Tax Rate? Which State Has the Lowest Tax Rate?...Table Key:StateCaliforniaLittle Cigar63.49% VALMChewing Tobacco Tax63.49% VALMSmoking Tobacco Tax63.49% VALMSnuff63.49% VALM50 more columns
What state are cigarettes the cheapest?
Missouri. Missouri has the lowest price of cigarettes by state in the US — an average of $5.25 for a pack. The low cigarette excise tax ($0.17 per pack) and state sales tax ($0.21 per pack) are responsible for the affordable cigarette prices in Missouri.
What is the tobacco tax in Florida?
In Florida, cigarettes are subject to a state excise tax of $1.34 per pack of 20. Cigarettes are also subject to Florida sales tax of approximately $0.31 per pack, which adds up to a total tax per pack of $1.65.
What is tax base for vaping?
The tax base is the total amount of income, property, assets, consumption, transactions, or other economic activity subject to taxation by a tax authority. A narrow tax base is non-neutral and inefficient.
Which states have bifurcated rates?
Connecticut, New Hampshire, New Jersey, New Mexico, and Washington have bifurcated rates, but Washington is the only state to have specific rates for both open and closed systems.
What is excise tax?
An excise tax is a tax imposed on a specific good or activity. Excise taxes are commonly levied on cigarettes, alcoholic beverages, soda, gasoline, insurance premiums, amusement activities, and betting, and make up a relatively small and volatile portion of state and local tax collections.
How many smokers are deterred from smoking in Minnesota?
A recent publication found that 32,400 smokers in Minnesota were deterred from quitting cigarettes after the state implemented a 95 percent excise tax on vapor products. As such products fall outside the domain of cigarette taxes, several states and localities have created specific vapor product excise taxes, and some have simply expanded their ...
What is the wholesale tax rate in Minnesota?
Of those that tax wholesale values, Minnesota tops the list with a 95 percent rate, but the District of Columbia comes in second at 91 percent. Massachusetts follows at 75 percent. Delaware, Kansas, Louisiana, and North Carolina all share the lowest per milliliter rate ($0.05).
Is vaping a substitute for cigarettes?
Vapor products and cigarettes can be economic substitutes . That means high excise taxes on harm-reducing vapor products risk harming public health by pushing vapers to go back to smoking. A recent publication found that 32,400 smokers in Minnesota were deterred from quitting cigarettes after the state implemented a 95 percent excise tax on vapor products.
Is there a tax on vapor?
There is no federal tax on vapor products. This week’s map shows where state vapor taxes stand as of June 1, 2020. Vapor taxing methods vary. Authorities tax base d on price ( ad valorem ), volume (specific), or with a bifurcated system that has different rates for open and closed tank systems.
How many states have taxed vaping?
So far, 28 states and the District of Columbia have imposed an excise tax on vaping products. Additionally, the federal government is likely to impose a tax on vaping products in the near future. While vapor taxes may represent an untapped revenue source for states that have yet to impose an excise tax, substantial revenue is unlikely in ...
What is tax base for vaping?
The tax base is the total amount of income, property, assets, consumption, transactions, or other economic activity subject to taxation by a tax authority. A narrow tax base is non-neutral and inefficient. A broad tax base reduces tax administration costs and allows more revenue to be raised at lower rates.
Why is tax on vapor products important?
Protecting access to harm-reducing vapor products is intertwined with tax policy because nicotine-containing products are economic substitutes . A well designed tax on vapor products should be at low rates to encourage switching from combustibles. Conversely, high excise taxes on harm-reducing vapor products risk harming public health by pushing vapers back to smoking. A recent publication found that 32,400 smokers in Minnesota were deterred from quitting cigarettes after the state implemented a 95 percent excise tax on vapor products.
What is excise tax?
An excise tax is a tax imposed on a specific good or activity. Excise taxes are commonly levied on cigarettes, alcoholic beverages, soda, gasoline, insurance premiums, amusement activities, and betting, and make up a relatively small and volatile portion of state and local tax collections.
Which states have the lowest per milliliter rate?
Delaware, Kansas, Louisiana, North Carolina, and Wisconsin all share the lowest per milliliter rate ($0.05). Vapor products can deliver nicotine, the addictive component of cigarettes, without the combustion and inhalation of tar that is a part of smoking cigarettes.
Is vapor taxation a policy?
If the policy goal of taxing cigarettes is to encourage cessation, vapor taxation must be considered a part of that policy design. For more discussion on the ideal design for vapor and other excise taxes, check out our recent report.
Does a high excise tax hurt vapers?
Conversely, high excise taxes on harm-reducing vapor products risk harming public health by pushing vapers back to smoking. A recent publication found that 32,400 smokers in Minnesota were deterred from quitting cigarettes after the state implemented a 95 percent excise tax on vapor products.
How do vape taxes work?
Most U.S. consumers pay a state (and sometimes also local) sales tax on the vaping products they purchase, so governments already benefit from vape sales even before excise taxes are added. Sales taxes are usually assessed as a percentage of the retail price of the products being purchased. In many other countries, consumers pay a “value added tax” (VAT) that works the same way as a sales tax. As for excise taxes, they come in a couple of basic varieties.
How much is the tax on vaping in Chicago?
Chicago assesses a $1.50 per unit tax on any vaping product containing nicotine (bottled e-liquid or prefilled devices) and a separate $1.20 per milliliter tax on the liquid itself. (Chicago vapers have to also pay the $0.20 per mL Cook County tax.) Because of the excessive taxes, some vape shops in Chicago sell zero-nicotine e-liquid and shots of DIY nicotine to avoid the high per-mL tax on the larger bottles
What is the tax on vaping?
One of the most common forms of vape tax is assessed at retail. Some taxes cover all vaping products (like New York State’s 20% tax), and others target e-liquid only. Often the tax is only charged on sales of nicotine-containing e-liquid.
What states have a tax on vaping?
Louisiana. A $0.05 per milliliter tax on nicotine-containing e-liquid. Maine. A 43% wholesale tax on all vaping products. Maryland. A 6% sales tax on all open-system vaping products (including e-liquid) and a 60% tax on e-liquid in containers with a capacity under 5 milliliters (pods, cartridges, disposables).
Why is vaping a tax target?
Because vapor products are usually bought by smokers and ex-smokers, tax authorities correctly assume that money spent on e-cigarettes is money not being spent on traditional tobacco products. Governments have depended upon cigarettes ...
When will Indiana vape tax be imposed?
The new tax will be 25% of wholesale cost on closed-system products like prefilled pods, and 15% at retail (a sales tax) on open-system products like bottled. The tax will take effect July 1, 2022.
When did Minnesota start taxing e-cigarettes?
In 2011 Minnesota became the first state to impose a tax on e-cigarettes. The tax was originally 70% of wholesale cost, but was increased in 2013 to 95% of wholesale on finished products that contain nicotine (cigalikes, pod vapes, bottled e-liquid) and are transported in from out of state.
What does it mean when you don't see your state on Vapor?
If you do not see your state listed, that means they are not currently charging state and local excise taxes on vapor products. We will continue to update this page if and when additional states begin taxing vapor products.
What is the new tobacco law?
The effect of this new law broadens the definition of tobacco products to include electronic cigarettes, vapes, eLiquids and vaping accessories.
Join our mailing list
Get updates about the legislation that affects you and action you can take to save vaping.
Greg Conley on Twitter
President @AVABoard. #HarmReduction and #Vaping advocate. Contact: 6O9-947-8O59 gconley at vaping dot org
AVA on Twitter
Championing vapor products for smokers looking to quit. #Vaping Saves Lives. Contact: gconley [at]https://t.co/ywuLm4Igou, (6O9) 947 - 8O59
