Updated!! Pennsylvania: 40% tax = game over for vape

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Mazinny

Vaping Master
ECF Veteran
Verified Member
Jul 25, 2013
4,263
22,713
NY
And they ask me why i'm voting trump
Sorry, i don't follow. What has Trump said about vaping that i am not aware of ? Do you think Trump is a free marketeer or a crony capitalist. His history seems to indicate the latter. Mike Pence, his rumored vp pick, just signed into law the most restrictive vape regulations of any state in the country. Corruption and crony capitalism is not limited to any one particular party.
 

Raenon

Unregistered Supplier
ECF Veteran
All of us here in PA are hurting today. This is a well crafted guillotine designed to kill the industry and all use of vaping supplies in any fashion.

In fact, even supplies that you have in your own possession in PA, regardless of when you bought them, may be covered:

Section 1207-A. Sales or possession of tobacco product when tax
not paid.
(a) Sales or possession.--Any person who sells or possesses
any tobacco product for which the proper tax has not been paid
commits a summary offense and shall, upon conviction, be
sentenced to pay costs of prosecution and a fine of not less
than $100 nor more than $1,000 or to imprisonment for not more
than 60 days, or both, at the discretion of the court. Any
tobacco products purchased from a wholesaler properly licensed
under this article shall be presumed to have the proper taxes
paid.
(b) Tax evasion.--Any person that shall falsely or
fraudulently, maliciously, intentionally or willfully with
intent to evade the payment of the tax imposed by this article
sells or possesses any tobacco product for which the proper tax
has not been paid commits a felony and shall, upon conviction,
be sentenced to pay costs of prosecution and a fine of not more
than $5,000 or to imprisonment for not more than five years, or
both, at the discretion of the court.​

So, if you're walking around with a bottle of juice you've had for years, or DIY? Apparently, it's up to a 5 year prison sentence.

So lets say you CAN find a vendor who meets all criteria, and you get some liquid from them, paying a price that'll cover the extra taxes... wait, you lost the receipt??

Section 1214-A. Failure to furnish information, returning false
information or failure to permit inspection.
(a) Penalty.--Any taxpayer who fails to keep or make any
record, return, report, inventory or statement, or keeps or
makes any false or fraudulent record, return, report, inventory
or statement required by this article commits a misdemeanor and
shall, upon conviction, be sentenced to pay costs of prosecution
and a fine of $500 and to imprisonment for not more than one
year, or both, at the discretion of the court.​

Prison time, again. It should say retailer, or wholesaler, but it doesn't. This entire section of law makes it clear that these rules all apply to individual persons as well, not just the businesses or their representatives.

"Unclassified importer." A consumer who purchases tobacco
products using the Internet or mail order catalogs for personal
possession or use in this Commonwealth from persons that are not
licensed.
...
1202-A (c) Unclassified importer.--The tax is imposed on an
unclassified importer at the time of purchase at the same rate
as in subsections (a) and (a.1) based on the unclassified
importer's purchase price of the tobacco products. The
unclassified importer shall remit the tax to the department​


GET ANGRY. CALL YOUR REPRESENTATIVES.
This is all effective before the FDA hammer even comes down.
 
.............who just named Indiana Governor Mike Pence as his running mate AND we all know what has happened in Indiana in regards to vaping/businesses :eek: .....yeah lets put him second in command of the country :facepalm:
My thoughts exactly. He would put a federal tax on e-liquids!
 

Raenon

Unregistered Supplier
ECF Veteran
With all that Rob has had to go through to survive and support the vaping community over the years, this is truly ridiculous. We need Azure Vaping! (Hypermint rules!)
You have no idea how much it means to me to hear that.

This industry is my entire career.
My entire family is involved.
Some of my best friends are the ones I've met and known through vaping.

It's been a tough road. We've been hurt again and again by circumstances, and I've never blamed anyone for it- it's just the hand I've been dealt. When my home and place of business were destroyed, I doubled down.
When there was talk about online sales being effectively banned years back, I opened a brick and mortar (now two), and cultivated relationships with more across the state and country to ensure that we'd have a network to work with.
I was a founding member of AEMSA, and spent long hours, months of time helping to work up those standards- which I know many use as a reference to proper practices, whether or not they are members. I still do.

I was the presenter for VCCPA 2015 in Pittsburgh, committing resources and people to putting on a good show.

Each time, there have been successes and failures. Nothing is perfect, but I've always pushed forward.

But here is the truth of the matter- the senators and representatives, the governor who all signed onto this plan, they don't care.

They needed to raise 1.3 BILLION dollars in tax money to balance the budget. They expect that 1% of that will come from vaping- 13 million- and they've structured it so that much of that money will be due upfront. First with the floor tax, then with taxes due on product purchased (not when it's sold to the consumer)

It's obvious to anyone who looks at our industry that the vast majority of businesses will not be able to afford to write that check. The prevailing opinion of those actually involved here is that they would be lucky to actually collect half of that- most of the business will simply fold.

This isn't a tax, it's a death sentence, and we need a stay of execution.
 

Raenon

Unregistered Supplier
ECF Veteran
By the way, here is the voting record of the Representatives who allowed this to go forward, versus those who voted against:
House Roll Calls - 2015 RCS# 1673

And the Senators too:
Senate Roll Calls - 2015 RCS# 646

Do you see your congressman in green? I know I see mine (Rep. Schreiber), he scoffed at me last time we had a discussion.
His plan for smoking is to ban vaping and have elementary schoolchildren pick up cigarette butts off the road.
 

Magic Of Light

Senior Member
ECF Veteran
Verified Member
Sep 20, 2012
265
249
Englewood Ohio
By the way, here is the voting record of the Representatives who allowed this to go forward, versus those who voted against:
House Roll Calls - 2015 RCS# 1673

And the Senators too:
Senate Roll Calls - 2015 RCS# 646

Do you see your congressman in green? I know I see mine (Rep. Schreiber), he scoffed at me last time we had a discussion.
His plan for smoking is to ban vaping and have elementary schoolchildren pick up cigarette butts off the road.

Im in your neighboring state of Ohio, and as of yet they havent tried anything like that. The fact that people on the street can be stopped and asked for a receipt of their stuff they are using is absolutely insane. You could always move your shop up here in Englewood Ohio ;) but even then the fda regulations are hitting next month. Our government is ......ed. They have no sense of the real world, all they get is figures on paper and they think they know whats what.
 

Tommy-Chi

Ultra Member
Supporting Member
ECF Veteran
    Significantly, this includes a "floor tax" meaning that the day after the bill is enacted, each vape store must pay the state a sum equal to 40% of the value of all inventory currently held by that store.

    WOW! That's criminal.
     

    Magic Of Light

    Senior Member
    ECF Veteran
    Verified Member
    Sep 20, 2012
    265
    249
    Englewood Ohio
    I am absolutely blown away by Pennsylvania and this whole thing. Thinking they can tax things that people bought 3 years ago? Wtf are they thinking? All they are going to do is create a black market for stuff. Just like alcohol was, and everything else they try to take away from us.
     

    DragonNC

    Full Member
    Mar 8, 2015
    44
    60
    Macedonia
    I'm reading this & I can't believe this is real.I hope this regulations will not come in EU......
    You really guys need to do something in US about this.
    Destroying people business , destroying people's life's , destroying....everything , for what ?
    FOR ....ING MONEY ?
    A ....ING GREEDY COUNTRY.
     

    Tommy-Chi

    Ultra Member
    Supporting Member
    ECF Veteran
    All PA vaping businesses have a bit more than two weeks to figure it out. This is gutwrenching stuff yet some think there's nothing to be concerned about for two more years.

    SMH off the desk to so much I have dents in it. :w00t:
     
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    Magic Of Light

    Senior Member
    ECF Veteran
    Verified Member
    Sep 20, 2012
    265
    249
    Englewood Ohio
    I mean, I could understand making vape shops start charging people 40% nicotine tax on eliquids even though that is hugely excessive. But devices too? And retoactively taxing people? This is straight up criminal behavior. And it shows that this is no longer the land of the free. We are merely a means to an end to those people. Its I think time to get 1 million vapers to march. Im in ohio, and I dont drive. But im sure there are vapers around here that would pick me up otw to protest this disgraceful money grab and blow to the health of all americans. This seriously pisses me off to no end.

    If they ever change taxes on cigs, they dont go hunting people who purchased them to pay more taxes do they? Its straight up criminal!!
     

    shawnski

    Unresolved Status
    ECF Veteran
    Hey Gang, I am a Liquid manufacturer from Philadelphia and need to say something..
    We here in PA are strong supporters of our advocacy groups and that is one thing PA never lacked from ... Everywhere you looked on the ecig PA groups there were meets galore going on wich were majority sponsoring proceeds going to SFATA , raffles to support these advocacy groups, Cloud comps to support , etc... In Bucks County Pretty much 99% of every meet thrown had a Raffles with 100% of the proceeds going towards SFATA..
    My point is that it doesnt seem to matter , if these dam politicians want the tax, law or bill passed it will PASS.!!!!
    And if it the outcome is that a Bill, law or tax will be passed at least you can hold your head up and say you did your part and didnt give up..... Never Give Up......Dont let them just walk in and take it without a Fight.....
     

    Vandal

    Super Member
    ECF Veteran
    Verified Member
    Oct 21, 2009
    799
    3,356
    NE Ohio
    All of us here in PA are hurting today. This is a well crafted guillotine designed to kill the industry and all use of vaping supplies in any fashion.

    In fact, even supplies that you have in your own possession in PA, regardless of when you bought them, may be covered:

    Section 1207-A. Sales or possession of tobacco product when tax
    not paid.
    (a) Sales or possession.--Any person who sells or possesses
    any tobacco product for which the proper tax has not been paid
    commits a summary offense and shall, upon conviction, be
    sentenced to pay costs of prosecution and a fine of not less
    than $100 nor more than $1,000 or to imprisonment for not more
    than 60 days, or both, at the discretion of the court. Any
    tobacco products purchased from a wholesaler properly licensed
    under this article shall be presumed to have the proper taxes
    paid.
    (b) Tax evasion.--Any person that shall falsely or
    fraudulently, maliciously, intentionally or willfully with
    intent to evade the payment of the tax imposed by this article
    sells or possesses any tobacco product for which the proper tax
    has not been paid commits a felony and shall, upon conviction,
    be sentenced to pay costs of prosecution and a fine of not more
    than $5,000 or to imprisonment for not more than five years, or
    both, at the discretion of the court.​

    So, if you're walking around with a bottle of juice you've had for years, or DIY? Apparently, it's up to a 5 year prison sentence.

    So lets say you CAN find a vendor who meets all criteria, and you get some liquid from them, paying a price that'll cover the extra taxes... wait, you lost the receipt??

    Section 1214-A. Failure to furnish information, returning false
    information or failure to permit inspection.
    (a) Penalty.--Any taxpayer who fails to keep or make any
    record, return, report, inventory or statement, or keeps or
    makes any false or fraudulent record, return, report, inventory
    or statement required by this article commits a misdemeanor and
    shall, upon conviction, be sentenced to pay costs of prosecution
    and a fine of $500 and to imprisonment for not more than one
    year, or both, at the discretion of the court.​

    Prison time, again. It should say retailer, or wholesaler, but it doesn't. This entire section of law makes it clear that these rules all apply to individual persons as well, not just the businesses or their representatives.

    "Unclassified importer." A consumer who purchases tobacco
    products using the Internet or mail order catalogs for personal
    possession or use in this Commonwealth from persons that are not
    licensed.
    ...
    1202-A (c) Unclassified importer.--The tax is imposed on an
    unclassified importer at the time of purchase at the same rate
    as in subsections (a) and (a.1) based on the unclassified
    importer's purchase price of the tobacco products. The
    unclassified importer shall remit the tax to the department​


    GET ANGRY. CALL YOUR REPRESENTATIVES.
    This is all effective before the FDA hammer even comes down.
    This is some truly scary stuff. I mean, like terrifying. I don't feel like I'm living in America anymore.
     

    shawnski

    Unresolved Status
    ECF Veteran
    I mean, I could understand making vape shops start charging people 40% nicotine tax on eliquids even though that is hugely excessive. But devices too? And retoactively taxing people? This is straight up criminal behavior. And it shows that this is no longer the land of the free. We are merely a means to an end to those people. Its I think time to get 1 million vapers to march. Im in ohio, and I dont drive. But im sure there are vapers around here that would pick me up otw to protest this disgraceful money grab and blow to the health of all americans. This seriously pisses me off to no end.

    If they ever change taxes on cigs, they dont go hunting people who purchased them to pay more taxes do they? Its straight up criminal!!
    AMEN..... Absolutely, these dam cigarettes are floating around more freely than our vaping products, and the retroactive check for 40% of your inventory, ABSOLUTELY DISGUSTING, TOM WOLF YOU SHAME ON YOU , YOU CALL YOURSELF AN AMERICAN WHEN YOU TAKE A HUGE DUMP ON SMALL BUSINESS, YOU DIDNT JUST HIT US WITH A TAX, YOU FRIGGIN PARALYZED US AND THAT WAS YOUR INTENTIONS...
     

    Magic Of Light

    Senior Member
    ECF Veteran
    Verified Member
    Sep 20, 2012
    265
    249
    Englewood Ohio
    AMEN..... Absolutely, these dam cigarettes are floating around more freely than our vaping products, and the retroactive check for 40% of your inventory, ABSOLUTELY DISGUSTING, TOM WOLF YOU SHAME ON YOU , YOU CALL YOURSELF AN AMERICAN WHEN YOU TAKE A HUGE DUMP ON SMALL BUSINESS, YOU DIDNT JUST HIT US WITH A TAX, YOU FRIGGIN PARALYZED US AND THAT WAS YOUR INTENTIONS...

    And not to mention they gave you 24 hours to comply. That is absolutely disgusting criminal practice. F them. At this point I would join 1 million people to go to every govt center in the country to physically remove all these ...... running this country into the ground from office. The only problem there, is how to do it without violence. I am no terrorist, im a patriot, and the majority of this countries people are friggin asleep watching mainstream media and watching tv. Voting for criminals because we have no other options. Those who seek to have power, are exactly who you dont want in power...period.

    Every single vape store, since they were only given 24 hours. All have a viable reason to sue. They do not have enough time to do anything, or even find other jobs. Its 100% grounds for a lawsuit i think.
     
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