Attention vapers
Important Changes to Vaping Product Taxes
New regulations are coming into effect – find out what you need to know here.
To Our Valued Customers
It is with regret that we are finding ourselves needing to post this notice for you. We have some important news to share about the tax situation imposed by the Government of Canada.
As you all know, on October 1 of 2022, the Federal Government imposed an excise tax on e-liquid, requiring an excise duty stamp on every bottle of e-liquid or pre-filled vape. What you may not know is that when the government drafted that regulation, they left it open for any province to hop on the tax train and claim their own provincial excise tax, should they wish.
This brings us to our notice for today. We have recently been informed that, in addition to the four provinces (Ontario, Quebec, Northwest Territories, and Nunavut) that implemented the new tax in 2024, five more provinces have opted into the excise tax regulation for 2025. These provinces are:
New Brunswick
Manitoba
Prince Edward Island
Alberta
Yukon
What does this mean?
Anyone residing in any of these provinces will pay an additional provincial excise tax.
These new taxes are still being updated and amended as we speak, so details may be updated as we learn more from the government. We want to provide you only with definitive answers and accurate updates.
In addition to this provincial vape tax, the Federal government is adding a 12% increase on the vape tax Canada wide.
What will this cost?
At this point, we are in a wait and see situation, as almost daily we are receiving updated information from the government. At this point it looks like the provinces above are equaling the current federal vape tax, and the federal government is increasing the federal taxes by 12%. We have also recently been made aware that Manitoba is working to add their province to the provincial tax list, but this has not been confirmed 100% as of right now.
When is this happening?
This effectively starts on March 31, 2025, however we will have a transition period starting January 1, 2025.
January 1st – March 31st/25:
During this 90-day transitional period, vaping products entering the duty-paid market in New Brunswick, Manitoba, Prince Edward Island, Alberta, and Yukon may be sold with either a Federal Excise Stamp or a Provincial Excise Stamp.
January 1/24:
The new tax rate must be applied to all eliquid and pre-filled vapes being purchased within or shipped to the affected provinces/territories.
Again we stress that this information is subject to change as we continue to receive information from the government.
FAQs
1) What would the new tax on a 60ml or 120ml bottle be?
Bottle Size | Current Price | Additional Provincial Tax per Bottle |
60ml | $39.99 | $11.20 |
120ml | $65.99 | $17.92 |
2) Would it be cheaper to smoke?
No, even with this new tax, with smart vaping practices, it is still 80% cheaper to vape then smoke cigarettes. See this article for a breakdown.
3) Affected products
This affects eliquid, any pre-filled pod systems, and disposable vapes. This does not affect our refillable hardware.
We are sorry to be the bearer of this news, and hope that you will reach out with any questions or need for clarification. We understand the frustration this may cause, especially during these already challenging economic times.
At the end of the day, taxes are out of our control, and Canada Vapes must continue to operate within the legal framework imposed by our Canadian government. We have been providing Canadians top quality vaping products for nearly 14 years and wish to continue to do so for many years to come. Thank you for your loyal support.