Colorado Raises Taxes on E-Cigarettes and Vapor Products
Credit: Neonbrand
Colorado voters have passed a measure that will raise the tax on e-cigarettes and vapor products at 30 percent starting in 2021 and go up to 56 percent starting in July 2024.
Proposition EE’s is estimated to raise up to $250 million in revenue this fiscal year and next.
Passage of the measure also adds price floors for tobacco products. The minimum price for moist snuff products will be $1.48 per container and will increase to $2.26 by 2027.
The measure was referred to Colorado voters by state lawmakers as part of HB20-1427 as the state tries to address its high teen vaping rates and other tobacco and nicotine use.The added revenue is allowed to be spent on a new cash fund for rural schools, preschool funding, tobacco education programs, housing and health care.
