The growth in the popularity of vaping has attracted government taxation on this industry. Today, taxation on vaping products is being proposed in the US and elsewhere across the world. 

Why do governments tax vaping products?

Besides the usual reason for collecting more revenue, taxation on tobacco-related products is done to try to change the behavior of smokers and offset the medical and environmental costs associated with their use. 

How vaping taxes work

Vaping products are taxed twice. There is the excise duty paid by the manufacturers and a sales tax paid by the consumers. Additionally, there is wholesale tax paid by the distributors. 

Vaping taxes in the United States

Several bills have been proposed in Congress to tax vape products. However, none has gained enough support to go through the house. 

Vaping taxes in US states

While there is no specific vape tax regulation for the US, almost all states have come up with regulations on how to tax vaping products. The moral panic over teenage vaping in 2019 fueled the adoption of vape taxes across the US. Legislators introduced vape taxes in response to the masses’ cry that they should do something to stop the high adoption of vaping by teenagers. 

Vape taxes around the world

Just like in the United States, legislators around the world know little about vaping products. While some let them be, others see them as a threat to the revenue collected from cigarettes. The latter ones are quick to introduce heavy taxes on vaping. 

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