Still bad news for the vape overseas? As part of the Trump administration's draft budget released yesterday, the e-cigarette sector is paying 100 million tax dollars a year. Once harvested, the funds would be used to strengthen regulatory oversight by the Food and Drug Administration (FDA).
If some still had doubts, it appears today that the US President, Donald Trump is clearly not a friend of the vape. While e-cigarettes are not currently subject to such fees, there are several other types of tobacco products, including cigarettes, cigars and snuff. A big winner in the case, the FDA is expected to collect about 712 million tax dollars for the current fiscal year, with cigarettes representing more than 86% of that amount.
In his budget plan, President Trump said the proposal for user fees for the vape industry "ensure the FDA has the resources it needs to cope with the alarming increase in the vape among young people and new threats to tomorrow's public health».
Overall, the administration is seeking funding from 6,1 billion dollars from the FDA, a gain of 418,5 million dollars compared to the law in force. A large amount, 2,8 billion, involves user fees from the pharmaceutical and other industries, as well as the proposed fees (or taxes) for the e-cigarette. Budget demand includes increases to promote innovation in medical products, food security and security of blood supply.
The FDA Tobacco Center is fully funded by a user fee. Extending the requirement to e-cigarettes would provide more resources as the agency tries to tackle youth vaping and assess the risks and benefits of the vape for adults.
The royalties proposed to the vape industry would be imposed on manufacturers and importers of equipment and e-liquids. According to government officials, the change should be approved by Congress.
A SUBTILE WAY TO INCREASE TAXES AND PAY THE VAPE INDUSTRY!
Liz Mair, Vapers United, obviously criticized this pricing proposal. "It's a tax, not a "user fee She said. " These are terms that Republicans and Democrats conservatives use when they are about to raise taxes, but do not want to admit that's what they dot. She added that the government should pursue policies to keep taxes low on the vape to encourage adult smokers to adopt e-cigarettes.
In a statement, the Commissioner of the FDA, Scott Gottlieb, recognized that e-cigarettes could be a useful tool for adult smokers who want to end smoking but need to go throughregulatory barriersTo assess their risks and benefits. However, no child should use an electronic cigarette", He said, because researchers are still studying the long-term effects of e-cigarette use, especially if the ingredients in the vapor can harm the lungs.
Matthew Myers, president of the Campaign for Tobacco-Free Children, was cautious, pointing out that the details of the proposal were rare. " This is a potentially positive development" , did he declare, " but that does not detract from the need for the FDA to take binding and mandatory measures to curb the behavior and products that caused this epidemic among young people. »
For her part, the senator Jeanne Shaheen (DN.H) welcomed the proposal, noting that it resembled the legislation it recently presented. " I hope to work with the administration as I rally bipartisan support for my congressional legislation"She said.
Under the administrative proposal, the Center for Tobacco Products would receive 812 $ million in user fees for the next fiscal year. Sad day for the vape in the United States.
source : Washingtonpost.com/