Provincial Vape Tax: Why Vapes are Going to Get Expensive

Beginning October first, 2024, Vaping products will be hit with  a new Provincial Excise Tax  starting with four provinces including Ontario and Quebec. This new duty will make Vape taxes double in these provinces.. Read this blog to become familiar with this change..

What Does this Mean if You Vape?

Ontario, Quebec, Nunavut & Northwest Territories will see Vape Prices go up with this new tax.

Beginning July 01 2024, a product that is only federally taxed at $1.12 per 2 mL is also taxed at the provincial level at $1.12 per 2 mL.

This tax will be officially be enforced on October 01, 2024, bringing the total tax on vaping products to the following rates:

  • $2.24 per 2mL for the first 10 mL of vaping substance
  • $2.24 per 10mL for e-liquid beyond the first 10 mL

Key Vape Excise Changes & Dates

Jan 01, 2023

Federal Vape Excise Tax is first introduced at the following rates:

  • $1.00 per 2mL for the first 10 ml
  • $1.00 per 10mL beyond the first 10 ml

July 01, 2024

Federal Vape Excise Tax is hiked by 12% along with the implementation of the coordinated provincial taxation regime in Ontario, Quebec, the Northwest Territories, and Nunavut.

This is what the 12% increased Federal Tax portion looks like:

  • $1.12 per 2mL or fraction thereof, for the first 10 ml of vaping substance in the device, or immediate container.
  • $1.12 per 10mL or fraction therefore, for e-liquid after the first 10mL.

 

Vape manufacturers are given a 3-month window from July 1 to Sept 30 to sell vape products produced or imported before the new tax laws become enforceable.

This is what the new Provincial Tax portion looks like:

  • $1.12 per 2mL or fraction thereof, for the first 10 ml of vaping substance in the device, or immediate container.
  • $1.12 per 10mL or fraction therefore, for e-liquid after the first 10mL.

This year’s  federal budget estimates the federal tax increase will increase federal revenue by $310 million over the next five years.

Oct 01, 2024

Beginning October 01, 2024,. It will be illegal to sell or purchase vape products at the current prices without provincial excise tax in Ontario, Quebec, Nunavut and the North West Territories.

This will bring the total excise tax amount by e-liquid volume in these provinces to the following rates:

  • $2.24 per 2mL or fraction thereof, for the first 10 ml of vaping substance in the device, or immediate container.
  • $2.24 per 10mL or fraction therefore, for e-liquid after the first 10mL.

How it Affects Your Wallet

A 15000 Puffs disposable, like the HQD Touch Pro, contains 20ml of e-liquid and will be taxed at $13.44! ($6.72 Federal Excise Tax + $6.72 Provincial Excise Tax)

Disclaimer: This tax does not include sales tax.

This new tax will essentially double the vape taxes in four provinces (ON, QC, NWT & NU)

These numbers might not seem like a lot but they add up, especially over the long term.

Note: All products containing e-liquid or vape juice, including DIY supplies, disposable vapes, and vape pods, are subject to excise vape tax. However, hardware, accessories, replacement coils, and tanks are exempt from this tax.

This would essentially double the excise tax duties in these specific provinces, making vapes cost significantly more compared to vape prices around the country.

How to Not Puff Away Your Money 

It might seem like there’s no way around this upcoming tax hike, but you can still take advantage of current prices by purchasing products at current prices in Bulk to not have to pay the extra tax once it is enforced

BUNDLE PROMO

Buying in Bulk Before October 1st

Until the new federal and provincial taxes are fully enforced, you can still benefit from current pricing with lower taxes.

This can bring you significant savings when compared to what the new prices will be.

 Buy Now before the new provincial tax rates apply. 

What do you think of the new Provincial Vape Tax? Share your thoughts in the comments below, and don’t forget to share this post with fellow vapers