After a proposed tobacco tax vote is passed, California e-cigarette sellers are gearing up for a first state tax on e-cigarettes.
A TAX ON E-LIQUIDS THAT WILL EXPLODE
The initiative could therefore hit the vape industry with a tax of 67% on the purchase of nicotine e-liquid. This tax is part of proposal 56 which we had already told you about and which was adopted with 63% of voters " for ". This will therefore increase the tax on tobacco products as well as that of e-cigarettes in the State, which will therefore increase from 87 cents to 2,87 $, it is a real blow for the vape shops.
Many health experts say that taxes on e-cigarettes may reduce their use among smokers who want to stop smoking. When e-cigarette sellers, they are also very worried, according to them, the prices practiced risk to demotivate the smokers. According to California e-liquid distributors, the tax will increase the price of a standard 30 milliliter bottle of nicotine e-liquid from $ 20 to $ 30.
«I guess vape industry executives and e-liquid makers will have to sit down with the BOE (Equalization Commission) to try to find a fair tax that won't put shops on the floor.", said Alea Jasso, shop owner. " If smokers wish to vape to quit smoking, we hope it will remain affordable enough for them to be able to do so. »
CALIFORNIAN SHOPS WORRIED FOR THE FUTURE.
The worry for e-cigarette sellers is obviously that their small businesses will end up being crushed by this potential 67% tax hike. Supporters who voted for Proposition 56 do not deny the impact it can have but do not seem bothered by the effect on business. Many of those who campaigned were involved in making this vote a public threat, helping to prolong the tobacco epidemic.
To Georgiana Bostean, professor of sociology at Chapman University "There is a large body of evidence for tobacco taxes which shows that taxation is one of the most effective ways to reduce smoking at all levels". According to him " There is no reason to believe it would be any different for e-cigarettes. »
Proponents of the tax fear that the vape may re-normalize smoking as something socially acceptable. According to them, this would eventually lead to higher smoking rates among young Americans.
Evidence suggests that electronic cigarettes are 95% safer than regular cigarettes. One study even found of 2,6 million e-cigarette users in the United States, most are smokers or former smokers, many using the device to quit smoking.
