Louisiana taxes triple on vape products and e-cigarettes as of July 1

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Taxes on e-cigarettes and vape products in Louisiana have tripled as of July 1. Department of Revenue Secretary Kevin Richard says retailers must use electronic age verification platforms…

“There’s a requirement that if these vaping products are sold online, the online retailer must verify that the purchaser is at least 21 years of age.”

The Legislative Fiscal Office expects the tax bump – from five cents per milliliter to 15 cents per milliliter – to generate an additional $9.8 million in revenue annually on top of the roughly $5 million it currently brings in.

Retailers purchasing these products tax-free directly from online authorized manufacturers are required to pay the excise tax to the Department of Revenue monthly. Richard says anyone who does not comply will face penalties.

“If the retailer is selling a product that is not on the directory, they could be subject to a $1,000 daily fine. And also, vendors will be subject to a $500 fine per any other offense.”

Beginning on Oct. 1, manufacturers will have to register their products with ATC. The law will also create a directory of all vape and alternative nicotine products authorized for sale in the state. Richard says retailers will need to comply…

“There will be some under-cover inspections and some announced inspections to make sure that the products being sold are in compliance with our current laws.”

The first $22 million raised annually will go to State Police pay raises.

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