Last edited:
Smokefree PA urges General Assembly to hike cigarette tax, but to NOT tax vapor or smokeless
- Thread starter Bill Godshall
- Start date
- th_trl_thread_readers 0
- Status
You know the answer to that right?
Those children didn't choose to get those diseases.
But we chose to smoke.
No, this is not MY answer, it is THEIR answer.
Now if you really want to have fun...
Imagine that a couple chooses to have children even though there is a high genetic risk.
Now envision a future where...
But I didn't choose to have those children either, yet I have to pay the burden of costs associated with someone else having them. Don't even get me starting on the public school system I have to subsidize too.
If you're gonna get specious...
Just remember, it takes a village.
And in todays version of the YewSA - everyone wants the village. Yet no one wants to actually pay for the village.
I don't mind paying for the village, I just don't want to pay more for my "equal" share of the village.
Bill passed both the assembly and senate, headed to the govenor's desk. He will sign it. 40% wholesale tax on vapor products is included. No word on how this works without a three tiered manufaturer->distributor->retailer setup. They may just wait till the FDA wipes out anything that is direct manufactuerer to customer.
The 13 million dollar estimate is a total joke. But, it should pretty much kill B&Ms
Cigars remain excise tax free.
The 13 million dollar estimate is a total joke. But, it should pretty much kill B&Ms
Cigars remain excise tax free.
Last edited:
Ty for this. I've gotten tired of consulting the daily. Just had a new shop open nearby a week ago...Bill passed both the assembly and senate, headed to the govenor's desk. He will sign it. 40% wholesale tax on vapor products is included. No word on how this works without a three tiered manufaturer->distributor->retailer setup. They may just wait till the FDA wipes out anything that is direct manufactuerer to customer.
The 13 million dollar estimate is a total joke. But, it should pretty much kill B&Ms
Cigars remain excise tax free.
Bill passed both the assembly and senate, headed to the govenor's desk. He will sign it. 40% wholesale tax on vapor products is included. No word on how this works without a three tiered manufaturer->distributor->retailer setup. They may just wait till the FDA wipes out anything that is direct manufactuerer to customer.
The 13 million dollar estimate is a total joke. But, it should pretty much kill B&Ms
Cigars remain excise tax free.
Makes perfect sense, A "tobacco product" that contains no tobacco and perhaps nothing derived from tobacco (0 nic e liquid) is taxed at 40% wholesale while actual tobacco that is smoked (probably by a number of State Legislators) is not taxed at all. Right!
I'm not sure zero nicotine eLiquid or what hardware is covered by this tax.
Bill passed both the assembly and senate, headed to the govenor's desk. He will sign it. 40% wholesale tax on vapor products is included. No word on how this works without a three tiered manufaturer->distributor->retailer setup. They may just wait till the FDA wipes out anything that is direct manufactuerer to customer.
The 13 million dollar estimate is a total joke. But, it should pretty much kill B&Ms
Cigars remain excise tax free.
I've been trying to find definitive info on this as I've had a couple shops recently tell me that it was looking more and more like they were going to change it to the .05-.07 per ml tax. CASAA even noted it. Do you know of a recent link that shows what's actually been passed?
Vape stuff starts at page 51. You are now a tobacco "dealer" Or "retailer" and need to be licensed if someone bums a smoke off of you or hits your vape. Even just offering someone a smoke or a toke constitutes sale.
"Sale." Any transfer of ownership, custody or possession of
21 tobacco products for consideration; any exchange, barter or
22 gift; or any offer to sell or transfer the ownership, custody or
23 possession of tobacco products for consideration.
http://www.legis.state.pa.us/CFDOCS...d=0&billBody=H&billTyp=B&billNbr=1198&pn=3731
"Sale." Any transfer of ownership, custody or possession of
21 tobacco products for consideration; any exchange, barter or
22 gift; or any offer to sell or transfer the ownership, custody or
23 possession of tobacco products for consideration.
http://www.legis.state.pa.us/CFDOCS...d=0&billBody=H&billTyp=B&billNbr=1198&pn=3731
Last edited:
Atties and mods sold seperately do not appear to be covered. Complete setups sold with a nasal tip should also be exempt (though, I am not the one that is going to test their resolve). Zero nicotine eLiquid is covered. Looks like there will be a huge spike in personal lubricant sales in the coming years.
- "Electronic cigarettes." As follows:
- 6 (1) An electronic oral device, such as one composed of a
- 7 heating element and battery or electronic circuit, or both,
- 8 which provides a vapor of nicotine or any other substance and
- 9 the use or inhalation of which simulates smoking.
- 10 (2) The term includes:
- 11 (i) A device as described in paragraph (1),
- 12 notwithstanding whether the device is manufactured,
- 13 distributed, marketed or sold as an e-cigarette, e-cigar
- 14 and e-pipe or under any other product, name or
- 15 description.
- 16 (ii) A liquid or substance placed in or sold for use
- 17 in an electronic cigarette.
Last edited:
The floor tax will close many shops within the next two weeks.
Internet purchases are permitted, but the buyer is responsible for paying the 40% wholesale tax on the retail price payed. The tax must be payed by the 20th of the month following the purchase.
The tax does not apply to products exported from the state.
Goes into effect 8-1-16
It's still unclear, to me, if any tax applies to a product manufactured in PA and sold directly to the customer.
Also, "A retailer may only purchase tobacco products from a licensed dealer" also puts a cork in the pipeline.
Internet purchases are permitted, but the buyer is responsible for paying the 40% wholesale tax on the retail price payed. The tax must be payed by the 20th of the month following the purchase.
The tax does not apply to products exported from the state.
Goes into effect 8-1-16
It's still unclear, to me, if any tax applies to a product manufactured in PA and sold directly to the customer.
Also, "A retailer may only purchase tobacco products from a licensed dealer" also puts a cork in the pipeline.
Last edited:
From my local vape shops' FB page this morning-
Hey everyone! Today (well at 1am it was yesterday) was a long and hard day for us. While we knew regulations and taxes were in the works we always hoped for the best. We thought that if we tried hard enough our industry may just make it out alive. Unfortunately after recently learning about the FDA regulations and then todays news about the PA tax we were hit harder then we like. What we know at this point is that there is going to be 40% Pennsylvania wholesale tax. So anything coming into PA will be slapped with a 40% tax AND it needs to be from a licensed wholesaler (which at this point there are none) They also have to agree to charge us tax and make sure they record and pay it to the PA Dept. of Revenue. We are not sure what distributers will take this on but hoping that some will want to take on the challenge. This could be in effect as early as Aug 1 or 30-60 days after that...we are still waiting on a confirmed date. Regardless its too soon. This tax includes a 40% floor tax. Everything in our store we need to write the state a 40% tax check. If you have been in our shop lately you know thats a lot of money and pretty much impossible for us to pay!! But that's not it...this effects all of us from the wholesaler down to the consumer. If you think that you can bypass it and buy online, guess what they covered that too. If your a resident of PA and you buy online you will be responsible for claiming that on your end of the year taxes. There is a ton more info I could ramble on at this point but its late, we are exhausted and are awaiting more info soon. We are going to try our hardest to stay open for all of you. We have made so many new friendships along the way and you all have helped us grow. If you got tired of hearing us tell you to sign this letter and sign this Call to Action or call your reps...this is why. We knew it was coming and the effects it would have. At this point whats done is done. We will be posting who voted against us that way you all know who to not vote for this election. Call your reps and tell them how this effects you. We know many people have tried to do what they could and we know a lot of you could have done more. No one in this industry knew that they would become a lobbyist or get so damn political but when you feel this strongly about a good thing you fight for it. Please just bear with us during this difficult time until we can figure out the next steps. Thanks to everyone who has been supporting this fight and doing what they can to help!
Hey everyone! Today (well at 1am it was yesterday) was a long and hard day for us. While we knew regulations and taxes were in the works we always hoped for the best. We thought that if we tried hard enough our industry may just make it out alive. Unfortunately after recently learning about the FDA regulations and then todays news about the PA tax we were hit harder then we like. What we know at this point is that there is going to be 40% Pennsylvania wholesale tax. So anything coming into PA will be slapped with a 40% tax AND it needs to be from a licensed wholesaler (which at this point there are none) They also have to agree to charge us tax and make sure they record and pay it to the PA Dept. of Revenue. We are not sure what distributers will take this on but hoping that some will want to take on the challenge. This could be in effect as early as Aug 1 or 30-60 days after that...we are still waiting on a confirmed date. Regardless its too soon. This tax includes a 40% floor tax. Everything in our store we need to write the state a 40% tax check. If you have been in our shop lately you know thats a lot of money and pretty much impossible for us to pay!! But that's not it...this effects all of us from the wholesaler down to the consumer. If you think that you can bypass it and buy online, guess what they covered that too. If your a resident of PA and you buy online you will be responsible for claiming that on your end of the year taxes. There is a ton more info I could ramble on at this point but its late, we are exhausted and are awaiting more info soon. We are going to try our hardest to stay open for all of you. We have made so many new friendships along the way and you all have helped us grow. If you got tired of hearing us tell you to sign this letter and sign this Call to Action or call your reps...this is why. We knew it was coming and the effects it would have. At this point whats done is done. We will be posting who voted against us that way you all know who to not vote for this election. Call your reps and tell them how this effects you. We know many people have tried to do what they could and we know a lot of you could have done more. No one in this industry knew that they would become a lobbyist or get so damn political but when you feel this strongly about a good thing you fight for it. Please just bear with us during this difficult time until we can figure out the next steps. Thanks to everyone who has been supporting this fight and doing what they can to help!
So a $50 bottle of mail order nic gets a $20 tax. My 10 year $500 stocking plan would cost an extra $200 in PA if you pay the tax. All they did was crush their vape retailers and discouraged smokers switching. Are they evil or just that stupid? But the cost of vaping is so low compared to smoking that it's hard even for vapers to comprehend. I had to work the numbers over and over before it sank in. The mighty $1 trillion tobacco business is not going to die without a lot of screeching and bellowing.
Wholesalers, retailers, unclassified importers and
18 manufacturers shall file monthly reports on a form prescribed by
19 the department by the 20th day of the month following the sale
20 or purchase of tobacco products from any other source on which
21 the tax levied by this article has not been paid. The tax is due
22 at the time the report is due. The department may require the
23 filing of reports and payment of tax on a less frequent basis at
24 its discretion.
As written, the department may permit paying the tax yearly, but without written notice, an internet purchase would require the buyer to pay the tax by the 20th of the next month along with filling out and filing the proper forms.
As written, nicotine base that is too strong to use in an "electronic cigarette" does not appear to be covered.
A $50 bottle of nic, for me, replaces almost $12,000 worth of cigarettes. For many other vapers it's much more than that. In general liquified nic costs 2 orders of magnitude less than nic in cigarette smoke. Instead of taxing vape products they should save that money by laying off public health employees. The world would be a better place.
- Status
Similar threads
- Locked
- Locked
- Locked
