Prefiled Virginia bill (HB 1310) for 2015 would tax vapor products at $.40/ml of nicotine containing liquid, require tobacco licenses for e-cig distri

[Bill Godshall]

Virginia prefiled bill for 2015 (HB 1310) would tax vapor products at $.40 per ml of liquid containing nicotine, require all vapor product distributors to become licensed tobacco distributors, and authorize Arlington and Fairfax Counties to impose their own vapor product tax not exceeding $.40/ml
LIS > Bill Tracking > HB1310 > 2015 session
Bill Tracking - 2015 session > Legislation

Under the bill, a 30 ml bottle of e-liquid would be taxed at $12.

The bill's sponsor is Democrat Robert Krupicka from Alexandria, VA
Virginia House of Delegates Member Listings

A potential silver lining is that the VA House is controlled by Republicans, who don't like to advance bills sponsored by Democrats.

But it appears to me that Altria's fingerprints are on the bill.

 

[Nate760]

Under the bill, a 30 ml bottle of e-liquid would be taxed at $12.

So, for all intents and purposes, it's a 60% tax. Lovely.

 

[noel18]

Might as well get used to it. The government loves to tax everything. Here in Maryland they even tax the rain.

 

[Nate760]

Might as well get used to it. The government loves to tax everything.

If we'd taken that attitude 240 years ago, we'd all be British subjects.

 

[Kent C]

If we'd taken that attitude 240 years ago, we'd all be British subjects.

If we hadn't taken that attitude 101 years ago (Amendment XVI), during the first 'progressive era' I might add, we might still have a Republic.

 

[Nate760]

If we hadn't taken that attitude 101 years ago (Amendment XVI), during the first 'progressive era' I might add, we might still have a Republic.

Ain't that the damn truth.

 

[NorthOfAtlanta]

The 16th and 17th have to go.

eta: Fair tax supporter here.

 

[Bill Godshall]

I've heard from a reliable source that Altria is not behind this VA e-cig tax bill.

 

[WorksForMe]

I am emailing the letter below to my Republican House Delegate David Yancey. Please tell me what you think and make suggestions.

Thanks,

Delegate Yancey,

I am writing to you in regards to a Virginia prefiled bill for 2015 (HB 1310) which would tax vapor products at $.40 per ml of liquid containing nicotine, require all vapor product distributors to become licensed tobacco distributors, and authorize Arlington and Fairfax Counties to impose their own vapor product tax not exceeding $.40/ml.

I buy my e-liquid partially online and partially from local retailers. E-liquid is cheaper online, but I like to support local businesses as well. If this tax bill passes, local e-liquid prices will have to increase dramatically, and I will no longer be able to justify the added cost of buying locally. E-liquid sales are the profit center for most retail vapor product stores, and their sales and profits could decrease dramatically. Some could be put out of business completely. Reduced sales and business closings could reduce revenue to the state by as much as it is increased by the new tax.

Recent studies have shown that vapor products are most likely more than 90% less dangerous than combustible products. As such, the state of Virginia should be encouraging their use rather than taxing them more than other products. “If you want less of something; tax it”.

I ask you to vote no on this bill, and allow vapor products to be sold in Virginia with only the normal state sales tax.

 

[pamdis]

Excellent letter. I give it a 50% chance that he will oppose and 50% chance he will propose an amendment to ban online sales into the state, depending on his campaign contribution sources.

 

[atroph]

Why the F do Alexandria and Fairfax get their own set of rules anyways? For instance smog testing up north but not in the lower 98% of the state!? Virginia law is so friggin wierd.

 

[WorksForMe]

Why the F do Alexandria and Fairfax get their own set of rules anyways? For instance smog testing up north but not in the lower 98% of the state!? Virginia law is so friggin wierd.

There's a lot of politically very well connected people in Northern Virginia. It seems like most of the state is fairly conservative, but the areas up near D.C.; not so much.

 

[Pclarity]

I'd be surprised if the NOVA area went for this, but the Williamsburg/Roanoke/Richmond area can counter those numbers. Really hope the legislative arm gets its collect head out.

 

[NorthOfAtlanta]

View attachment 393403

Why the F do Alexandria and Fairfax get their own set of rules anyways? For instance smog testing up north but not in the lower 98% of the state!? Virginia law is so friggin wierd.

EPA rules, inspections are required only in metro/county areas over a certain population level. Can't blame this one on local laws.

 

[LandJet]

Out of curiosity, I looked up how much VA receives in cigarette tax. Last year (2013) it was $169,297,000.

Another interesting tidbit (which may be a hard one to beat in the big politics of this proposed tax), is the category of 'other tobacco products'. Va defines that as tobacco products other than cigarettes. I guess that may be where e-cigs fall. All revenues from this tax are deposited into the Virginia Health Care Fund.

Just thinking perhaps part of the reasoning is to help fund the state's healthcare exchange. Either way, this sucks!

Page 36 of http://www.tax.virginia.gov/Documents/AnnualReportFY2013.pdf

 

[guyvelella]

I thought the politicians cared about public health. Doing this would only drive vapers back to cancer cigarettes.

 

[kkay59]

Politicians love taxes. Here is a quote from President Ronald Reagan. It was true then, and still applies today. This sums it up quite nicely, in my opinion.



Government's view of the economy could be summed up in a few short phrases: If it moves, tax it. If it keeps moving, regulate it. And if it stops moving, subsidize it.

Ronald Reagan

 

[LittleBird]

WorksforMe, may I plagiarize your letter? We have a house in Alexandria and I'd like to write to both the Governor-Elect and our representatives. This just makes me angry.

 

[WorksForMe]

WorksforMe, may I plagiarize your letter? We have a house in Alexandria and I'd like to write to both the Governor-Elect and our representatives. This just makes me angry.

I already plagiarized Bill G. in the first paragraph, so be my guest. I'm not sure how much more we can do, but I hope this bill doesn't pass. I've got about 15 B&Ms within 20 miles of me. I'm going to make sure a lot of them know about this.

I made a couple little changes before sending it. This is what I sent:

Delegate Yancey,

I am writing to you in regards to a Virginia prefiled bill for 2015 (HB 1310) which would tax vapor products at $.40 per ml. of liquid containing nicotine, require all vapor product distributors to become licensed tobacco distributors, and authorize Arlington and Fairfax Counties to impose their own vapor product tax not exceeding $.40/ml.

I buy my e-liquid partially online and partially from local retailers. E-liquid is cheaper online, but I like to support local businesses as well. If this tax bill passes, local e-liquid prices will have to increase dramatically, and I will no longer be able to justify the added cost of buying locally. E-liquid sales are the profit center for most retail vapor product stores, and their sales and profits could decrease significantly. Some could be put out of business completely. Reduced sales and business closings could reduce revenue to the state by as much as it is increased by the new tax.

If this bill passes and I buy all my e-liquids locally, this tax alone will cost me about $35 per month. If you add to that the cost of e-liquid, e-cigarette hardware, and sales tax, you quickly approach the cost of tobacco cigarettes. Recent studies have shown that vapor products are most likely more than 90% less dangerous than combustible products. As such, the state of Virginia should be encouraging their use rather than taxing them more than other products. “If you want less of something; tax it”.

I ask you to vote no on this bill, and allow vapor products to be sold in Virginia with only the normal state sales tax.

BTW: Welcome to the forum.

 

[LittleBird]

I already plagiarized Bill G. in the first paragraph, so be my guest. I'm not sure how much more we can do, but I hope this bill doesn't pass. I've got about 15 B&Ms within 20 miles of me. I'm going to make sure a lot of them know about this.

I made a couple little changes before sending it. This is what I sent:



BTW: Welcome to the forum.

Thanks very much, and thanks for the welcome. I hadn't realized what a cluster the VA legislature (or, perhaps, certain representatives within the legislature) is/are. Today, I skimmed many of the regulatory threads, and, Oh My! I am gob-smacked! Time, now, to get involved. Yes it is.