How much will the excise tax increase prices, and how will they be calculated?
The duty/tax is calculated based on the liquid volume of the vaping substance contained in a single container (in mL). At this time, taxes/duties are charged and collected at the Federal level.Federal Excise Taxes Based On Container Size3 x 2mL pods = $34 x 1mL pods = $410mL disposable = $530mL bottle of eJuice = $760mL bottle of eJuice = $10100mL bottle of eJuice = $14120mL bottle of eJuice = $16Excise Tax Calculations
- For the first 10mL of vaping substance, a tax/duty is applied at a rate of $1.00 per 2mL of the vaping substance.
- For each additional 10mL of vaping substance thereafter, a tax/duty is applied at a rate of $1.00 per 10mL of the vaping substance.
Example 1:For a pack of pre-filled pods (3 x 2mL pods), the duty payable will be CAD $1 per 2mL, which equates to an increase of $3 per pack.Example 2:The tax/duty payable on a 60mL bottle of e-liquid would be $1 per 2mL for the first 10mL, which equates to $5. The remaining 50mL would be $1 per 10mL which equates to another $5.Potential for additional taxation: It is important to note that the Government has invited the Provinces and Territories to participate. In the event that the Provinces or Territories opt into the excise tax, a new Provincial/Territorial stamp will need to be applied on all products and the duty payable will effectively double.