Minnesota, Washington Hit Vaping Products With $17.90 Taxes as 16 States Levy None
Updated
Updated · Fox News · Jul 15
Minnesota, Washington Hit Vaping Products With $17.90 Taxes as 16 States Levy None
1 articles · Updated · Fox News · Jul 15
Summary
$17.90 per product is the highest vaping tax burden in the U.S., with Minnesota and Washington tied at the top and Vermont close behind at about $17.33.
95% wholesale tax rates in Minnesota and Washington help drive those totals, and Tax Foundation policy director Adam Hoffer said they can nearly double a product's legal price.
$0.36 is the lowest burden among states that tax vaping products—shared by Delaware, Georgia, Kansas, Nebraska, North Carolina and Wisconsin—while 16 states impose no statewide vape tax.
Declining cigarette tax revenue is pushing more states to tax vaping, but the patchwork of milliliter, retail-price, wholesale-price and product-type formulas makes state comparisons difficult.
Higher levies can also shift consumer behavior, with vapers sometimes crossing into lower-tax neighboring states, especially around the Washington, D.C., region.