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.

Product | 20ml E-liquid, Dual Modes with Up to 60,000 Puffs, Uwell Launches VALAYA AMP 60K Vape in the U.S.
Product | 20ml E-liquid, Dual Modes with Up to 60,000 Puffs, Uwell Launches VALAYA AMP 60K Vape in the U.S.
Uwell has recently launched its new disposable vape, the VALAYA AMP 60K, on its official website. The device features 20ml of pre-filled e-liquid and is rated for up to approximately 60,000 puffs. It is equipped with a 950mAh rechargeable battery and a 0.6Ω dual mesh coil. The product is now available through select online channels in the United States, with a listed price of $19.99.
Apr.09 by 2FIRSTS.ai
Special Report| War continues to shape the Ukrainian tobacco market
Special Report| War continues to shape the Ukrainian tobacco market
Four years into the war, Ukraine’s tobacco market is being reshaped by stress-driven consumption, tax pressure, youth e-cigarette use and a growing illicit segment. Surveys point to rising tobacco and nicotine product use, while higher excise duties and shadow trade are adding new complexity to the market.
Apr.17
JTI Korea Introduces Ploom AURA With Four Heating Modes and Four Device Colors
JTI Korea Introduces Ploom AURA With Four Heating Modes and Four Device Colors
JTI Korea announced that its next-generation heated tobacco device Ploom AURA will officially launch in South Korea on April 14. The company held a media event on March 31 at the Fairmont Ambassador Seoul Hotel to unveil the product in Korea for the first time.
Apr.01 by 2FIRSTS.ai
AIR Romania Manufacturing Facility Expected to Begin Operations in Q1 2027
AIR Romania Manufacturing Facility Expected to Begin Operations in Q1 2027
AIR Limited announced on May 7, 2026, that it plans to open a new manufacturing facility of approximately 70,000 square feet in Stefanesti, Bucharest North, Romania. The facility is expected to begin operations by the first quarter of 2027. AIR said that once fully operational, the facility is expected to support more than 150 jobs and be capable of producing more than 4,000 tons of flavored shisha molasses each year.
May.08 by 2FIRSTS.ai
BAT AGM Highlights Smokeless Strategy, AI Capability and Regulatory Engagement
BAT AGM Highlights Smokeless Strategy, AI Capability and Regulatory Engagement
BAT Chair Luc Jobin told shareholders at the company’s 2026 Annual General Meeting that BAT delivered on its plans in 2025 despite a challenging external environment, with the U.S. business returning to growth, smokeless consumers increasing by more than 15%, improved New Categories contribution, and GBP 6.3 billion returned to shareholders.
Apr.16 by 2FIRSTS.ai
OLAF and Customs Authorities From 30 Countries Seize More Than 94 Million Illicit Vape and Heated Tobacco Items
OLAF and Customs Authorities From 30 Countries Seize More Than 94 Million Illicit Vape and Heated Tobacco Items
The European Anti-Fraud Office said on April 17 that its “JCO VAPE” operation, carried out together with customs authorities from 30 countries, successfully targeted the illicit trade in e-cigarettes and heated tobacco products. The operation, conducted from November 14 to December 15, 2025, resulted in seizures of more than 94 million items and more than 2,500 kg/l of tobacco products, e-cigarettes, devices, and related goods.
Apr.20 by 2FIRSTS.ai