Proposed 12% Increase in Vaping Excise Tax

Michael Yan


Outlined in the 2024 federal budget, the Liberals tabled plans to increase the federal Vaping Excise Tax by 12% in July 2024. This 12% hike signals a proactive stance towards public health, but it also sparks debates on its effectiveness and broader implications.

Impact on Consumers

The immediate impact of the tax hike falls on consumers, who will face higher prices for vaping products. For regular users, this increase may lead to reevaluation of their vaping habits, potentially prompting some to cut back or quit altogether. However, there's also concern that it could disproportionately affect marginalized groups or those with lower incomes, potentially pushing them towards cheaper, unregulated alternatives or deterring them from transitioning away from traditional tobacco products.

Balancing Public Health and Economic Considerations

Canada's decision to increase the Federal Vaping Excise Tax reflects a multifaceted approach to tackling the complex issue of vaping prevalence, particularly among youth. While the tax hike signals a commitment to public health and harm reduction, its ultimate impact remains to be seen. Striking a balance between deterrence and unintended consequences will require ongoing collaboration between policymakers, public health experts, industry stakeholders, and communities affected by vaping-related issues.

As Canada navigates the evolving landscape of nicotine consumption, the efficacy of taxation as a regulatory tool will continue to be scrutinized, highlighting the need for evidence-based policymaking and a holistic approach to promoting the well-being of all Canadians.


With this change, the new rates for standard bottle sizes are as follows:

30mL: $7.00  ->  $7.84

60mL: $10.00  ->  $11.20

120mL: $16.00  ->  $17.92