E-Cigarette Advocates Oppose Emanuel’s Tax Vapor Products

Evan F. Moore | As of Wednesday, September 30, 2015

The American Vaping Association, a leading advocate for the benefits of vapor products such as electronic cigarettes, is calling on ex-smokers, business owners, and public health advocates in Chicago to oppose Mayor Rahm Emanuel's proposed tax on vapor products.

Last week, Mayor Emanuel released his city budget proposal that included new taxes on vapor products of $1.25 per bottle of e-cigarette liquid ('e-liquid'), plus .25 cents per milliliter of e-liquid.

Mayor Emanuel said this in press release on the City of Chicago’s website:

“On so many fronts, Chicago has made great progress by challenging the status quo. But as we continue to grow our economy, create jobs and attract families and business to Chicago, our fiscal challenges are blocking our path to even greater success. With this budget, we will build on our progress in charting a new course for Chicago’s future and secure the retirements of our police and firefighters in in a way that does not hurt those who can least afford it. I am confident we will be remembered as the leaders who made the hard choices and stepped up to save Chicago.”

The mayor went on to say that creating a new tax on e-cigarettes will “discourage youth from vaping, becoming the first big city in the nation to do so. The tax will generate $1 million in revenue in 2016 and a portion will be dedicated to support community health services.”

Vicki Vasconcellos, president of the Illinois chapter of SFATA (Smoke Free Alternatives Trade Association), says that she questions the logic used by Mayor Emanuel.

“Saying you are protecting the children by taxing a product that can only be sold to persons 18 or older simply doesn’t make sense,” Vasconcellos says. “Mayor Emanuel's proposed tax on vapor products of $1.25 per bottle of e-cigarette liquid (e-liquid), plus 25 cents per milliliter of e-liquid would raise the price of a 30ml bottle by 8.75. Currently, a 30ml bottle costs between $12 and $22, plus local and state sales taxes.”

Vasconcellos, who owns several Cignot vapor stores in and around the city, went on to say that the mayor’s approach is a bit heavy-handed.

“Placing a sin tax on e-cigs to curb use by minors (who cannot buy them in Illinois) is like removing a splinter from your finger by smashing it with a sledgehammer,” Vasconcellos says. “This tax will only serve to kill small business and keep smokers smoking.”

Gregory Conley, president of the American Vaping Association, released a statement last week ahead of Mayor Emanuel unveiling of the city budget saying, "Mayor Emanuel's new vapor product tax is designed to protect the tens of millions of dollars Chicago collects every year from its cigarette tax. This tax is not about protecting health or youth; it's about discouraging adult smokers from using these products to quit. “

Conley went on to say, that "Real public health advocates should see through these desperate claims and oppose this tax. Every year, only around 3 percent of smokers who try to quit will succeed. We need new and innovative options for the other 97 percent, not prohibitive taxes that encourage smokers to keep smoking."

Chicago’s city council is in budget hearings for the rest of the week according to various staff members of the city’s aldermen.

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