Upcoming Price Changes Due to Federal and Provincial Excise Tax Increase
Dear customer,
Starting July 1, 2024, Canada will see an increase in the federal excise tax on vaping products. This change involves a federal tax hike and the introduction of harmonized provincial excise taxes in several regions, effectively doubling the existing excise duties.
**Federal Tax Increase**: The federal excise tax on vaping products will increase by 12% ($1.12 per 2ml). For example, a 30ml bottle of e-liquid, which currently incurs a $7 federal excise tax, will now face a $7.84 tax.
**Provincial/Territorial Excise Taxes**: Provinces such as Ontario, Quebec, Nunavut, and the Northwest Territories will introduce excise duties matching federal rates. This means that in these provinces, the total excise tax on a 30ml bottle will be $15.68 ($7.84 federal and $7.84 provincial), effectively doubling the cost.
Retailers will have until September 30, 2024, to sell through inventory with only the federal excise stamp. After this date, all products must bear the new federal and provincial excise stamps to be legally sold in Canada.
The transition period granted by the CRA runs from July 1, 2024, to September 30, 2024, during which all inventory with old excise stamps can be legally sold nationwide. During this time, new federal and/or provincial excise stamps must be applied to all products as per the new regulations based on the province or territory of shipment.
We encourage you to stock up on your favorite e-liquid products while quantities last before the new costs take effect. At VapeHeure, we are proactively taking the necessary steps to ensure a smooth transition. However, we cannot predict how long our current stock will last during this period, after which prices will increase according to the new excise taxes across Canada.
VapeHeure is committed to assisting you through these changes. Please don't hesitate to contact us with any questions or concerns about the excise tax changes.
Thank you for your continued loyalty and cooperation as we navigate these changes together.
