Vapor Taxes - NC
North Carolina - Excise Tax: Yes on E-liquid containing Nicotine at $0.05 per ml "of consumable product". No on E-Liquid without nicotine. (Hardware only if it contains nicotine (ECBlend does not sell hardware containing nicotine online)
Information is current as of: May 06, 2021 If you are aware of a change or error in this information, please write to HelpDesk@ecblend.com
*** INFORMATION IN THIS ARTICLE IS NOT LEGAL ADVISE OR A SUBSTITUTE FOR LEGAL ADVICE ***
DEFINITIONS: (DISCLAIMER: Underlines by ECBlend are intended only for the purpose of drawing attention to information that pertains to sales by ECBlend - Information below are references only - It is not legal advice or a substitute for legal advice. Definitions may be excerpts and may have additional language or context. For full context, visit your states websites Dept of Taxation, Tobacco Products, Attorney General, and Senate and House Bills for your state. This information is current as we know it as of the date above. If you are aware of a change or error in this information, please contact us.)
Vapor product means “any noncombustible product that employs a mechanical heating element, battery, or electronic circuit regardless of shape or size and that can be used to heat a liquid nicotine solution contained in a vapor cartridge. The term includes an electronic cigarette, electronic cigar, electronic cigarillo, and electronic pipe.”
Tobacco product means “any product that contains tobacco and is intended for human consumption…[including] a tobacco-derived product, vapor product, or components of a vapor product.”
Tobacco product means “cigars, cigarettes, snuff, loose tobacco, or similar goods made with any part of the tobacco plant tha tare prepared or used for smoking, chewing, dipping or other personal use. The term includes vapor products.
E-liquid means “a liquid product, whether or not it contains nicotine, that is intended to be vaporized and inhaled using a vapor product.”
E-liquid container means “a bottle or other container of e-liquid [except] a container [that] is pre-filled and sealed by the manufacturer and is not intended to be opened by the consumer.”
Tax provisions:
Vapor product means “any nonlighted, noncombustible product that employs a mechanical heating element, battery, or electronic circuit regardless of shape or size and that can be used to produce vapor from nicotine in a solution [including] any vapor cartridge or other container of nicotine...intended to be used with or in an electronic cigarette, electronic cigar, electronic cigarillo, electronic pipe or similar product or device.”
Consumable product means “any nicotine liquid solution or other material containing nicotine that is depleted as a vapor product is used.”
Tobacco product means “a cigarette, a cigar, or any other product that contains tobacco and is intended for inhalation or oral use. The term includes a vapor product.”
Tax Guidance: https://files.nc.gov/ncdor/documents/files/Revised_-Vapor-FAQs-1_28_2020.pdf
Below are excerpts that relate to our sales to you, please visit the link above for a full text.
TAX ON VAPOR PRODUCTS FREQUENTLY ASKED QUESTIONS
What is a consumable vapor product? A consumable vapor product is any nicotine liquid solution or other material containing nicotine that is depleted as a vapor product is used. This includes prefilled tanks used in rechargeable and non-rechargeable (disposable) vapor products.
How much is the excise tax on consumable vapor products? An excise tax is levied on vapor products at the rate of five cents ($.05) per fluid milliliter of consumable product. There is no excise tax on non-consumable vapor product
Is the excise tax calculated on the liquid nicotine content in the vapor product or on the entire consumable vapor product itself? The excise tax is calculated on the entire consumable vapor product.
Is a consumable vapor product that contains zero nicotine subject to the excise tax? No. The consumable vapor product must contain nicotine for it to be subject to the excise tax.