West Virginia has turn out to be the fifth state to tax vaping merchandise, after the Home and Senate voted to tax digital cigarettes and e-liquid to a brand new “sin” tax.
Paul Blair of the People for Tax Reform reported that Senate Invoice 1012 handed sixty three-forty five on June thirteen, and the income from the tax is predicted to deliver $ninety eight million additional dollars to the state within the subsequent yr.
A pack of cigarettes will see $.sixty five added on the money register, and seven.5 cents per mL e-liquid tax has been added.
The People for Tax Reform wrote concerning the risks of taxing:
“Focused excise taxes have confirmed to be unstable sources of income, and finally may cause a discount in tax receipts…In truth, solely three out of the 32 state tobacco tax will increase, enacted between 2009 and 2013, have met or exceeded tax income tasks. These tobacco-free know-how merchandise are serving to tens of hundreds of people who smoke make the transition to far more healthy options. By imposing a 7.5-cent per mL tax on e-cigarettes…this punitive tax is each anti-well being and a shameless money seize…It’s reckless to destroy with tax hikes small companies undertaking what tax hikes on cigarettes by no means might, getting individuals to give up smoking.”
Moreover, the brand new regulation states that “No wholesaler or different individual might buy e-cigarette liquids from any vendor not authorised by the Tax Fee.”
For the complete story, go to http://www.atr.org/west-virginia-legislature-passes-large-new-tax-vapor-merchandise.