Treasury to meet with a view on mapping out vape tax
The department expressed concern about the growing usage stats of e-cigarettes among youth as well as the lack of local regulation in how these products are marketed.
Picture: iStock
In a move to make good on Finance Minister Tito Mboweni’s 2020 Budget Speech promise, the National Treasury will kick off a consultative process later this month with a focus on the taxation of electronic cigarettes to be implemented in 2021.
“Government is concerned about the potential long-term health harm related to the use of these products,” said the department in a statement.
In recent years, new generation products such as electronic nicotine delivery systems (ENDS) and electronic non-nicotine delivery systems (ENNDS) have been introduced in the market.
These products, also known as electronic cigarettes (e-cigarettes), are battery-powered devices that do not burn or use tobacco leaves but instead vaporise an e-liquid solution to create an aerosol which the user then inhales.
“The e-liquid contains nicotine/non-nicotine and other chemicals and/or flavouring chemicals that may be toxic to people’s health. Globally, there is growth in the marketing and use of ENDS/ENNDS, and in some instances, high consumption of these products are amongst the youth.”
Treasury also expressed concern about how the marketing and distribution of ENDS/ENNDS was still unregulated in South Africa and said they believed there were signs that the use of these products was growing.
Treasury invites the public to attend a consultation workshop hosted jointly with the national department of health. The workshop will be held at Development Bank of Southern Africa, in Midrand, on 25 March, between 9am and 11am.
For more news your way, download The Citizen’s app for iOS and Android.
