Health advocates fighting plan to cut Indiana’s vaping tax
In this Dec. 20, 2018, file photo Juul products are displayed at a smoke shop in New York. On Thursday, Oct. 3, 2019, the U.S. Federal Trade Commission ordered Juul and five other vaping companies to hand over information about how they market e-cigarettes, the government’s latest move targeting the industry. (AP Photo/Seth Wenig, File)
INDIANAPOLIS (AP) — Anti-smoking advocates are arguing against a proposal that would reduce Indiana’s new tax on electronic cigarettes before it even takes effect.
The proposal approved by the Republican-dominated state Senate last month would cut the 25% tax charged on cartridges such as Juul devices to 15%.
The Legislature approved the higher rate last year to start July 2022.
Health groups urged a House committee on Thursday to keep the 25% rate, saying they believed vaping devices should face taxes similar to cigarettes to discourage young people from using them.
Groups representing e-cigarette retailers said the lower tax rate was needed so that Indiana’s vaping tax was closer to neighboring states.