Bill no. 35, the Coordinated Vaping Product Taxation Agreement Act, has received assent in the Yukon Legislative Assembly.
This Bill allows the Government of Yukon to enter into an agreement with the Government of Canada to join their coordinated vaping product taxation framework. The framework will double the existing federal tax on vaping products and the Yukon will receive 50 per cent of the revenue collected in the territory. The Government of Yukon will not add its own tax on these products as part of the agreement.
By joining the national framework, the Government of Yukon aims to effectively reduce vaping rates. The framework is designed to discourage vaping among youth by targeting closed-systems like vaping pods and other single-use devices, more than reusable open systems which studies show are more popular with adults.
The new federal tax rates on vaping products are expected to apply on January 1, 2025.
Passing this Bill makes sure that we can join the federal coordinated vaping product taxation framework. Entering the federal framework is an important step in reducing vaping rates among Yukon youth. It presents an efficient, ready-made way to discourage the use of these products, while also ensuring the Yukon is part of a nation-wide approach.
The Coordinated Vaping Product Taxation Agreement Act is a crucial measure aimed at reducing vaping in the Yukon, a practice associated with numerous health issues. This legislation is about protecting the wellbeing of Yukoners, especially our youth, and helping ensure a healthier tomorrow by preventing nicotine addiction and reducing vaping-related illnesses.
Jordan Owens
Cabinet Communications
867-338-0615
[email protected]
Eric Clement
Communications, Finance
867-393-6482
[email protected]