Those with a vaping habit in Switzerland will soon have to pay tax on vaping liquid, reported RTS.
On 26 October 2022, Switzerland’s Federal Council sent a project to tax the product to the federal parliament.
Different levels of tax will be applied to two different categories of product. Reusable products will have their liquids taxed at a lower rate of 20 cents per millilitre, while disposable vapes will have their liquids taxed at 1 franc per millilitre. The hope is that the lower rate will not discourage users of tobacco products, who typically use reusable products, from switching away from more harmful tobacco products. While it is hoped that the higher tax rate on disposable vapes will discourage children, who are more price sensitive and who predominantly use disposable products, to quit or not take up the addictive habit in the first place.
The government expects the move would raise taxes of around CHF 13.8 million a year. Like the taxes levied on tobacco products, the funds raised would be used to fund state pensions and disability payments.
Electronic cigarettes were initially taxed in Switzerland. Then in 2012 the tax was dropped. However, in March 2021, Switzerland’s federal parliament adopted a motion to reintroduce taxes on the products.