On October 1st, Washington D.C. implemented a 67%excise tax on ecig and vaporizer products
, including e-liquid
. This tax applies to vapor products sold in physical stores, both gas stations and vapor shops, located in the state capitol.
This unfortunate new law is the result of a 2016 budget proposal, which included the Vapor Product Amendment of 2015. This small, yet industry altering amendment effectively stops classifying ecig and vapor products as “other tobacco products,” a classification which required businesses to charge customers a 5.75 percent sales tax on vapor products. Now, vapor products sold in Washington D.C. will be classified under a new vapor category that carries a staggering 67% tax for the retailer. This means that a store owner who sells a $100 vaporizer will owe the city $67 in taxes.
D.C.’s mayor, Muriel Bowser
, believes this hefty tax will raise an estimated $400,000 for local programs, ignoring the fact that it will also drive customers away and force people to lose their jobs and businesses. Furthermore, it will reduce convenient access to ecig products for many D.C. residents.