“For Minnesota’s growing e-cigarette industry, the House omnibus tax bill looks like a bust,” writes MPR News reporter Catharine Richert.
Buried in the bill is a provision that would change the way e-cigarettes are taxed. Right now, disposable e-cigarettes or vapor used in reusable e-cigarettes is taxed at 95 percent of the wholesale price of tobacco products.
The tax bill would change the rules to impose a 30 cent tax on every milliliter of vaping solution.
Vaping retailers and manufacturers say that amounts to an 800 percent tax increase.
“This will crush the vaping industry in Minnesota,” said Tim Koester President of the Independent Vapor Retailers of Minnesota. “I suspect a majority of Minnesota vape businesses will not be able to operate much longer if this new tax is imposed.”
Today’s Question: Do you support a tax increase on e-cigarettes?