Vape Shops Propose 2% Sales Tax

Licensed vaping shops are proposing a 2% sales tax on e-liquids, the Arkansas Vape Advocacy Alliance announced Sunday.

The Alliance’s executive director, Bradley Phillips, told Talk Business & Politics that his association presented the 2% tax plan during this year’s legislative session while Senate President Pro Tempore Jim Hendren, R-Gravette, was presenting a bill to enact a wholesale tax on e-liquids.

The AVAA hopes to pass the tax during next year’s fiscal session. During this year’s regular session, it estimated the tax would raise about $1 million per year, Phillips said.

E-cigarettes currently are subject only to the state’s sales and use tax.      MORE

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