Understanding the New Tax Breakdown

Updated: August 24, 2024

**Statement on Government Taxation of Vape Juice in Ontario**

We would like to express our concerns regarding the recent decision by the government to impose additional taxes on vape juice in Ontario. While we understand that taxation policies are within the government's purview, we do not approve of this increase. We believe it places an undue financial burden on consumers and may have unintended consequences for those who rely on vaping as a less harmful alternative to smoking. However, we recognize that we have no choice but to comply with these new regulations. Our focus remains on supporting our customers through this transition and ensuring that they continue to have access to quality products.

Here is a breakdown of the new tax increase:


- **Volume: 0.1 - 2 mL**
- Federal Tax (Current): $1.00
- Federal Tax Increase (12%): $1.12
- Provincial Tax Increase (12%): $1.12
- Total Federal & Provincial Tax (Per Unit): $2.24

- **Volume: 2.1 - 4 mL**
- Federal Tax (Current): $2.00
- Federal Tax Increase (12%): $2.24
- Provincial Tax Increase (12%): $2.24
- Total Federal & Provincial Tax (Per Unit): $4.48

- **Volume: 4.1 - 6 mL**
- Federal Tax (Current): $3.00
- Federal Tax Increase (12%): $3.36
- Provincial Tax Increase (12%): $3.36
- Total Federal & Provincial Tax (Per Unit): $6.72

- **Volume: 6.1 - 8 mL**
- Federal Tax (Current): $4.00
- Federal Tax Increase (12%): $4.48
- Provincial Tax Increase (12%): $4.48
- Total Federal & Provincial Tax (Per Unit): $8.96

- **Volume: 8.1 - 10 mL**
- Federal Tax (Current): $5.00
- Federal Tax Increase (12%): $5.60
- Provincial Tax Increase (12%): $5.60
- Total Federal & Provincial Tax (Per Unit): $11.20

- **Volume: 10.1 - 20 mL**
- Federal Tax (Current): $6.00
- Federal Tax Increase (12%): $6.72
- Provincial Tax Increase (12%): $6.72
- Total Federal & Provincial Tax (Per Unit): $13.44

- **Volume: 20.1 - 30 mL**
- Federal Tax (Current): $7.00
- Federal Tax Increase (12%): $7.84
- Provincial Tax Increase (12%): $7.84
- Total Federal & Provincial Tax (Per Unit): $15.68

- **Volume: 50.1 - 60 mL**
- Federal Tax (Current): $10.00
- Federal Tax Increase (12%): $11.20
- Provincial Tax Increase (12%): $11.20
- Total Federal & Provincial Tax (Per Unit): $22.40

**UPCOMING CHANGES IN VAPING PRODUCT REGULATIONS: WHAT YOU NEED TO KNOW**

On May 14th, 2024, the Canada Revenue Agency (CRA) revealed a 12% tax increase on all vaping products, set to take effect on July 1st, 2024. This adjustment will raise the federal excise tax on all items bearing an Excise Stamp, including vape juices. As a result, the cost of these products will rise significantly. Please be aware that although some products may still be available at existing prices before the tax increase, starting September 30, 2024, we will no longer be permitted to sell products with the Federal Excise Stamp.

**The tax increase is just the start. There are forthcoming regulatory changes that will impact how vaping products are sold and distributed, including enforcement measures involving the RCMP.**


**NEW PROVINCIAL EXCISE TAX STAMPS**

Starting September 30, 2024, all vaping products will require province-specific Excise Tax stamps. These new stamps will replace the current federal stamps and will indicate the province for which the product is intended. This means we will be restricted to selling products with stamps specific to each province. 

We understand these changes may be disruptive, and we are here to support you through this transition.