Vapor products; creates state tax. (SB1606)

Introduced By

Sen. Adam Ebbin (D-Alexandria)

Description

Vapor product tax; School Mental Health Counselors Fund created; Quit Now Virginia Fund created; penalties. Creates a state tax on electronic cigarettes, electronic cigars, electronic cigarillos, and similar products and devices (vapor products) and authorizes cities and towns and certain counties to impose a tax on vapor products. The state tax would be imposed at a rate of 40 percent of the wholesale price. The bill provides that 90 percent of the tax revenue generated by the state tax would be distributed to the School Mental Health Counselors Fund, created by the bill. Such funds would be required to be used to fund the state's share of Standards of Quality Costs related to increasing the ratio of school counselors to students. The bill provides that 10 percent of the tax revenue generated by the state tax would be distributed to the Quit Now Virginia Fund, created by the bill. Such funds would be required to be used to fund the Virginia Department of Health's costs to provide phone-based and Internet-based services with the purpose of discouraging and eliminating the use of tobacco products and providing counseling and support for smoking cessation efforts. Counties, cities, and towns that are currently authorized to tax cigarettes would be authorized to also tax vapor products at rates determined by the local governing bodies. The bill authorizes Arlington and Fairfax Counties to impose a vapor products tax, but at a rate that does not exceed the state tax on vapor products created under the bill. Under current law, Arlington and Fairfax Counties may impose a tax on cigarettes at a rate that does not exceed the state cigarette tax. Read the Bill »

Outcome

History