A new tax of 20 per cent on the retail price of all vapour liquids, products and devices will take effect in Saskatchewan on Sept. 1.
Legislation to implement the new Vapour Products Tax (VPT) was introduced in the legislature this week.
According to a press release, All vendors of vapour products will be required to become licensed by Aug. 31, with a VPT vendor's licence, in order to report and submit the VPT collected. Filing of VPT returns will be required for the reporting period beginning Sept. 1.
Provincial Sales Tax (PST) at the rate of six per cent will continue to apply to vapour products sold in Saskatchewan through Aug. 31. Vapour products sold after this date will no longer be subject to PST and will instead be subject to the 20 per cent VPT.
In addition, effective June 1, heat-not-burn tobacco sticks will become a separate category under The Tobacco Tax Act and taxed at a rate of 20.5 per cent per stick. This is approximately 75 per cent of the tax rate on tobacco cigarettes.
For more information about these new tax measures, email firstname.lastname@example.org or call (toll-free) 1-800-667-6102.