Closing the E-cigarette Advertising Tax Loophole

Mar.16.2023
Closing the E-cigarette Advertising Tax Loophole
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.


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.

 BAT Raises Growth Outlook for Smokeless Products as Velo and Vuse Gain Momentum
BAT Raises Growth Outlook for Smokeless Products as Velo and Vuse Gain Momentum
British American Tobacco (BAT) has raised its growth outlook for smokeless products, forecasting “mid-teens” growth for its new category portfolio, including vaping and nicotine pouch products, while global cigarette volumes are expected to decline further.
BAT
Jun.02
Bangladesh Industry Association Calls for Regulated Framework Instead of Vape Ban
Bangladesh Industry Association Calls for Regulated Framework Instead of Vape Ban
Bangladesh Electronic Nicotine Delivery Systems Traders Association said at a press conference on April 9 that use of e-cigarette products under regulated policy frameworks has produced positive public health outcomes globally.
Apr.10 by 2FIRSTS.ai
Imperial Brands Expects Low-Single-Digit Tobacco and NGP Net Revenue Growth in H1
Imperial Brands Expects Low-Single-Digit Tobacco and NGP Net Revenue Growth in H1
Imperial Brands released a trading update on April 14, reiterating its FY26 guidance and saying its 2030 transformation has started positively. The company said it still expects low-single-digit tobacco net revenue growth, double-digit NGP net revenue growth, 3.00% to 5.00% growth in Group adjusted operating profit, at least high-single-digit earnings per share growth, and at least GBP 2.2 billion in free cash flow for the full year.
Apr.14 by 2FIRSTS.ai
Jeju Health Center to Apply Conventional Tobacco Rules to Liquid E-Cigarettes From April 24
Jeju Health Center to Apply Conventional Tobacco Rules to Liquid E-Cigarettes From April 24
Jeju Health Center said it will apply the same regulations used for conventional tobacco products to all tobacco products, including liquid e-cigarettes, from April 24, while also strengthening public guidance and smoke-free zone management.
Apr.21 by 2FIRSTS.ai
ITGA Americas Meeting Calls for Balanced Regulation as Tobacco Growers Warn of Pressure on Farms and Legal Supply Chains
ITGA Americas Meeting Calls for Balanced Regulation as Tobacco Growers Warn of Pressure on Farms and Legal Supply Chains
ITGA said tobacco grower organizations from five Americas countries called for stronger regional cooperation and balanced regulation, warning that restrictive policies could pressure farmers and legal supply chains. The article also provides data on major tobacco-producing countries in the Americas.
Special Report
Jun.02
Poland Seizes 223,688 Disposable Vapes Without Required Excise Marks
Poland Seizes 223,688 Disposable Vapes Without Required Excise Marks
Poland’s Customs and Tax Service in Łódź carried out an inspection at a property near Zgierz and seized 223,688 disposable e-cigarettes without the required excise markings.
Apr.07 by 2FIRSTS.ai