Federal:
The federal government has not imposed any restrictions regarding the use of e-cigarettes, or the sale of e-cigarettes and vaping accessories in Canada. All regulations have taken place at a provincial or municipal level in Canada.
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Update 2024: Federal & Harmonized Excise Taxes
What is Changing with the Federal Tax?
In a recent announcement by the CRA on May 14th, 2024, it was declared that all vaping products with federal excise stamps will undergo a 12% tax increase starting July 1st, 2024. This adjustment will affect the current federal excise tax rate and will also be applicable to any upcoming provincial tax rates.
The federal excise stamps will remain the same, so there will be no impact on your sellable inventory. However, you should familiarize yourself with these changes to maintain your margins and so that you can keep your customers informed.
What is the Provincial Excise Tax?
The provincial excise tax is a new tax implemented on vaping products, containing e-liquid, by the Federal government with invitation for provinces to join. Ontario, Quebec, Nunavut, and the Northwest Territories have chosen to participate. This tax will be applied in addition to the new federal excise tax pricing structure on vaping products.
Tax Structure Breakdown
The provincial excise tax rate is equal to the federal rate, effectively doubling the tax in participating provinces. The 12% increase recently announced will impact both the federal and the provincial tax rate.
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GENERAL INFO:
At this time in Canada, electronic cigarettes (a.k.a. e-cigarettes, e-cigs, vapes, vaporizers) are 100% legal for individual use. There are currently no regulations as to where you can use them, with a few exceptions. There are, however, several municipal and provincial vaping regulations that have been created by municipalities and provinces so we will break down the legalities of vaping per province.
The federal government has not imposed any restrictions regarding the use of e-cigarettes, or the sale of e-cigarettes and vaping accessories in Canada. All regulations have taken place at a provincial or municipal level in Canada.
You must be 19 to purchase e-cigarettes and vaping supplies. Similar to tobacco products, it is illegal to sell e-cigarettes and vaping supplies to anyone under the age of 19. It is required by law for retailers of the vaping industry in Ontario to receive proper government approved identification from the customer before selling them e-cigarettes or supplies. A more recent by-law states any person under the age of 19 is not permitted entrance into a vape shop; we must note that many responsible vape shops in Ontario have already been enforcing this on their own for sometime.
Under the Smoke-Free Ontario Act, 2017, you can not vape in any enclosed workplace, enclosed public place, and all other areas designated as smoke/vape free. If you vape where it is not allowed, you may be charged with the offence and subject to a fine if convicted. The most recent regulation that has taken place in Ontario with regards to vaping inside of a specialty vape shop (current & new retail establishments must now apply for a specialty vape shop license) is as follows: Using an electronic cigarette (including inhaling & exhaling vapour) is permitted if the following conditions are met:
ONTARIO VAPING LAW UPDATE NOVEMBER 2019: The Ontario government has just proposed an advertising ban for vaping products in convenience stores and gas stations. Under these new laws, vaping ads will only be allowed in specialty vaping stores where all customers must by 19+ to enter.
Law Update: No provincial legislation, but some municipalities, (i.e. Cold Lake, Red Deer, Bonnyville) have by-laws to restrict e-cigarette use in public places.
ALBERTA VAPING UPDATE, OCTOBER 2019: Alberta Heath Minister Tyler Shandro announced that the province will review their Alberta Tobacco and smoking regulation act with its aim to regulate vaping. The review was started November, 2019. It will most likely look at promotions and advertising of vaping products in Alberta. At this time the tobacco laws in Alberta do not discuss vaping. –citation
Law Update: Tobacco and Vapour Products Control Act
Date in effect: Sept. 1, 2016
Under this law, the following are banned:
BRITISH COLUMBIA VAPING LAW UPDATE: NOVEMBER 2019: Health Minister Adrian Dix is to introduce new legislation in British Columbia to increase the sales tax on vaping products from 7% to 20%. He is also considering allowing flavors outside of tobacco to be only sold in specialty vape shops. Furthermore, he would cap the legal level of nicotine to 20mg/ml, and increase funding for youth vaping awareness programs in British Columbia. The legislation is set to come into effect January 1st, 2020. – citation
In Manitoba, Bill 30 was introduced into parliament for its 1st reading. It is called the Non-Smokers Health Protection Amendment Act (e-cigarettes). This bill proposes the following: E-cigarettes could be used only in places where smoking is permitted, with the exception of vape shops. There is also no sale of e-cigarettes allowed to anyone under the age of 18. E-cigarettes may be used in designated rooms in group living facilities and hotels similar to present exemptions for smoking. Customers may use e-cigarettes to test or sample products in vape shops where the sale of e-cigarettes is the main business activity.
There would also restrictions in place which are ‘similar to restrictions presently in place for tobacco products’ regarding to the display and advertising of e-cigarettes. This change was an amendment to the ‘Non-Smokers Health Protection Act’
Bill 30 achieved Royal Assent on November 5, 2015 and is currently in proclamation. This means it is ‘almost’ enforceable. Once the regulations are proposed and passed, it will be given an effective date for enforcement (Source).
The most recent information regarding Bill 30 is with Minister Crothers in December 1st and is as follows:
“You are correct that while Bill 30 was passed and received Royal Assent on November 5, 2015, it has not yet come into force. The in force date will be set once the regulations, which will outline specific requirements for some of the issues you mentioned, including signage, have been developed.
As part of the regulation development, Manitoba Health, Healthy Living and Seniors (MHHLS) will consult with stakeholders, including vape shop owners. However, a time frame for this consultation has not been determined.
Should you have any further questions or concerns about Bill 30, please contact Mr. Andrew Loughead, Manager, Tobacco Control and Cessation, MHHLS, at Andrew.Loughead@gov.mb.ca or at 204-784-3900 in Winnipeg.”
Law: The Non-Smokers Health Protection and Vapour Products Act
Royal assent received: Nov. 5, 2015
Under this law, the following are banned:
The new law also provides exemptions for vaping in the following places:
Nova Scotia was one of the first provinces to implement significant restrictions on vaping and e-cigarette sales in Canada. Nova Scotia passed legislation that came into effect on May 31st, 2015. This ban treats e-cigarettes in much the same way as tobacco cigarettes. They must be kept out of view, unless the store does not permit minors to enter. There is no point-of-sale promotion permitted. There is no signage or advertising allowed outside of the store. No selling to anyone under the age of 19. No selling in pharmacies, or anywhere else tobacco sales are prohibited (Source).
While e-cigarettes are being treated like regular cigarettes in retail settings, they will not be taxed as a tobacco product.
Law Update:
Law: Smoke-Free Places Act (amended) and Tobacco Access Act (amended)
Date in effect: May 31, 2015
Under this law, the following are banned:
NOVA SCOTIA VAPING LAW UPDATE DECEMBER 2019: Nova Scotia announces ban on all flavoured e-liquids or vaping products to come into effect April 1, 2020. If this ban comes int effect, it will be the strongest ban of any province in Canada. – citation
On July 1, 2015, New Brunswick Government amended two acts to include e-cigarettes. The Smoke-Free Places Act and the Tobacco Sales Act have both been amended to include e-cigarettes. The tobacco sales act is now called the tobacco and electronic cigarette sales act, and states the following:
Law Update:
Law: Tobacco and Electronic Cigarette Sales Act
Date in effect: July 1, 2015.
Provisions of the act include:
Since 2015 in Quebec, most of the rules on smoking also apply to vaping, including a ban on selling vaping products to people under 18. Now online sales of vaping products to people under 18 are also illegal. Delivery personnel have a duty to check that the buyer is 18 or older.
Also banned are vaping products with flavours of candy, dessert, pot, soft drinks and energy drinks. These changes are added to existing restrictions, such as where you can’t smoke, either tobacco or electronic cigarettes.
According to Bill 44, it’s forbidden to:
Laws: Smoke-Free Environment Act, Tobacco and Vapour Products Control Act
Date in effect: June 7, 2016
Under the law, the following are banned:
Vaping will be allowed in designated e-cigarette rooms in long-term care facilities and certain workplaces.
The following will be banned under provisions coming into effect July 1, 2017:
As of July 1, 2017, Vape Shops will be allowed to operate if the only business conducted is the sale of vapour products.
Law: Tobacco and Electronic Smoking Device Sales and Access Act
Date in effect: Oct. 1, 2015
Under this law, the following are banned:
Law: Amendments to the Smoke Free Places Act
Date in effect: Sept. 1, 2015
Under this law, the following are banned:
PRINCE EDWARD ISLAND (PEI) VAPING LAW UPDATE – November 2019: PEI has set in place a legislation to raise the legal age of vaping from 19 to 21. It is set to restrict the sales of vaping products to ‘tobaccoinist shop’. This is a location where selling tobacco products or vaping products is the primary business. The bill would also restrict flavours, however to what extent is still not fully understood. This legislation has now passed its 3rd reading and just needs to be given royal assent to be law in PEI.