BIR issues vape law tax guidelines
The Bureau of Internal Revenue (BIR) has released guidelines on the implementation of the vape law which sets the floor price for heated, vapor and other electronic cigarette items.
The Bureau issued Revenue Regulations No. 14-2022 on Thursday, November 17, which performs as its implementing rules and regulations for Republic Act No. 1190 or the Vaporized Nicotine and Non-Nicotine Products Regulation Act.
In line with the BIR regulations, P131.04 is the floor price for a 0.7 milliliters (ml) pod of nicotine. For 1.8 ml and 1.9 ml nicotine salts, the minimum prices are P306.88 and P318.08, respectively.
Meanwhile, the floor price for a 15-ml bottle of conventional freebase nicotine is P207.20.
The bigger bottle that contains 30 ml of classic nicotine has a P352.80 minimum price.
According to BIRNational Capital Region Director Edgar Tolentino, the new guidelines will help the economy and ensure the health of Filipino minors.
“BIR will have exclusive jurisdiction over taxpayer registration, setting the products’ floor price, drafting and publication of revenue regulations covering vape items,” Tolentino said.
He said it is also the mandate of newly-appointed BIR Commissioner Romeo Lumagui, Jr. to crack down on illicit vape traders.
“We need to support the plans of the commissioner — one thing is to focus on illegal vape sellers because if smuggling persists we will be losing huge revenues from vape products,” he said.
Data revealed that the government has collected about P15.3 billion in vape taxes since 2019.