Closing the E-cigarette Advertising Tax Loophole

Mar.16.2023

US lawmakers seek to end tax deductions for e-cigarette ads amid ban on traditional tobacco advertising since 1971.

Since January 1971, traditional tobacco advertising has been banned in the United States. However, this does not apply to electronic cigarettes.

Currently, US law allows manufacturers to apply for federal tax breaks on advertising costs for e-cigarettes. Congress hopes to close this tax loophole.

Senators Jeanne Shaheen and Richard Blumenthal have reintroduced the "E-cigarette and Tobacco Advertising Tax Subsidies Repeal Act" (S.464). If passed, this legislation would not make e-cigarette advertising illegal, but it would terminate tax deductions for e-cigarette advertising expenses.

Shahin and Blumenthal first introduced the bill in 2019, but so far it has not received enough support in Congress to be approved.

Reference:

1. Congress aims to close a loophole in advertising regulations for e-cigarettes.

Congress is currently considering the possibility of discontinuing the tax deduction that e-cigarette advertisements on the radio currently enjoy.

Further reading:

The US Senate reintroduces bill on tax-free subsidies for electronic cigarette and tobacco advertisements.

The US Congress will close a "loophole" in tobacco advertising.

#Europe #Legislation #United Kingdom #Disposable e-cigarettes #E-cigarette Taxes #E-cigarette #E-cigarettes and Tobacco

This document has been generated through artificial intelligence translation and is provided solely for the purposes of industry discourse and learning. Please note that the intellectual property rights of the content belong to the original media source or author. Owing to certain limitations in the translation process, there may be discrepancies between the translated text and the original content. We recommend referring to the original source for complete accuracy. In case of any inaccuracies, we invite you to reach out to us with corrections. If you believe any content has infringed upon your rights, please contact us immediately for its removal.

Report: Smoking Rates Remain Unchanged Despite Kazakhstan’s Vape Ban

According to Exclusive.KZ, Kazakhstan’s Strategy Public Foundation released a study finding that strict tobacco and vape bans have not reduced smoking rates, which remain at 18–20%. The report calls for harm reduction approaches based on international best practices.

Nov.06 by 2FIRSTS.ai

From Partnership to Acquisition: Why KT&G Is Betting on the Global Nicotine Pouch Market

As global competition in the nicotine pouch market accelerates, Korea’s tobacco major KT&G has moved with a “Partnership + Acquisition” strategy, teaming up with Altria to acquire Nordic pouch maker Another Snus Factory (brand “LOOP”). Why deploy capital now, and why take this route? Drawing on company disclosures, regulatory monitoring and on-site observations from InterTabac Dortmund, 2Firsts analyzes KT&G’s strategic calculus and the signals behind this move.

Nov.05

Hounslow Crackdown Seizes £33,000 of Illegal Vapes and Combustible Cigarettes

Hounslow Council’s Trading Standards team, working with Metropolitan Police units, conducted test purchases across the borough and found seven premises selling illegal tobacco. Subsequent raids at 16 premises in Chiswick, Feltham and Hounslow High Street seized 4,859 illegal vapes (≈£30,000), 3,806 combustible cigarettes (≈£3,000), 16kg of shisha and 11kg of chewing tobacco. Offences included oversized tanks, over-strength nicotine, and unregistered products.

Oct.22 by 2FIRSTS.ai

South Korea Implements Public Tobacco Harmfulness Management Program, Including 22 Harmful Components in E-Cigarettes

South Korea’s Ministry of Health and Welfare and the Ministry of Food and Drug Safety convened the first 2025 Tobacco Harmfulness Management Policy Committee, finalizing new lists of harmful substances for cigarettes, heated tobacco products, and liquid e-cigarettes to be publicly disclosed from next year.

Nov.14 by 2FIRSTS.ai