Is State Tax Rates Hiking Up The Price Of Vaporizers?
The U.S. tobacco industry is fighting back against efforts by state regulatory bodies and consumers to modify the sale of electric cigarettes. While vaporizers have already been around for a long time and are becoming more acceptable in mainstream American life, the tobacco companies are determined to fight these efforts vigorously. They’ve made huge amount of money trying to defeat state taxing and regulation efforts. Now, they’re making their next move: challenging the legality of the taxation themselves. In a new legal filing, they’re claiming that the FDA over regulates and creates a “guaranteed” interstate transportation business. The filing happens to be being contested in the courts, and both sides expect an answer at some point soon.
State taxation uprights vaporizers by regulating their sale. It’s estimated that about twenty states have uprights to sell vaporizer devices, including California, Colorado, D.C., Florida, Hawaii, Illinois, Maryland, Massachusetts, Montana, Nevada, New Hampshire, Oregon, Pennsylvania, and Washington. These states have grown rapidly in recent years, and as a consequence, their cigarette tax rates are also growing rapidly. Many of these same states also have placed taxes on cigar and pipe tobacco. It appears that smoking just gets more costly, and that is what the tobacco industry is shooting for.
Based on the filing with the FDA, the tobacco industry has been targeted unfairly. The tobacco industry is doing everything they can to fight against regulation of vaporizer devices. As we’ve seen, the U.S. Supreme Court has multiple times ruled contrary to the FDA over-regulation of cigarettes. These rulings have left the door spacious to regulation of vaporizer devices. The FDA claims that Smok Novo this over-regulation defeats the objective of regulating and controlling the usage of vaporizers.
The fact is that the FDA itself isn’t even necessary to regulate or control these industries. Only state governments have that authority. It is the state governments that impose their own taxes, and many states have imposed increased taxes in an effort to try to curb smoking. However the state governments are themselves at a disadvantage. They cannot regulate wholesale prices since these prices are regulated by state laws. They also can’t tax the merchandise at a higher rate than the authorities does.
Also, the FDA itself isn’t directly mixed up in manufacturing of the vaporizer. Tobacco companies manufacture their very own products, and they are those that get sued by the states and levied taxes. The FDA merely approves or denies manufacturer licenses based upon whether these manufacturers follow federal law. And if the manufacturer doesn’t, then the company doesn’t get its license.
So, the states that impose taxes on vaporizer devices don’t get the advantage of having a federal regulator, or perhaps a manufacturer that’s licensed by the state. So, instead, they find methods to increase taxes on the manufactures themselves! Which makes no sense. Why are these manufacturers being targeted specifically? There is no real reason.
THE MEALS and Drug Administration may be the federal body in charge of regulating pharmaceuticals, health supplements and cosmetics. It gets the power to ban the production or sale of any chemical or substance that it determines is unsafe. So, why are states trying to tell the FDA to target Vaping online users instead of tobacco manufacturers? The FDA knows that regulating weight loss supplements isn’t likely to work because there are no controlled weight loss supplements currently on the market. And, even if there have been, they couldn’t force food manufacturers to market diet pills containing ingredients that are banned by state law.
So, instead, the states want to force the FDA to create some type of rule or regulation that will require a manufacturer to sell their devices in a specific manner, according to state regulations. Which makes no sense at all. It also flies when confronted with the original purpose of the Food Drug and Administration Act. Why the FDA is targeting these devices is a question that only experts in the FDA can answer.