House Bill No. by Representative Brass proposes an increase in the excise tax on vapor products and electronic cigarettes in Louisiana. The bill amends R.S. 47:841(F) to change the tax calculation from a fixed rate of fifteen cents per milliliter of consumable nicotine liquid to a percentage-based tax of thirty-three percent of the invoice price of these products. This change aims to align the tax structure with the current market pricing of vapor products and electronic cigarettes.

The new tax rate will take effect on July 1, 2025, and will apply to all vapor products and electronic cigarettes purchased by retail and wholesale dealers after this date. However, it will not apply to stamped products and unused tax stamps held by wholesale dealers prior to the effective date. Additionally, all wholesale and retail dealers are required to submit an inventory of their vapor products and electronic cigarettes to the Department of Revenue by August 1, 2025, to ensure compliance with the new tax regulations.

Statutes affected:
HB517 Original: 47:841(F)