Law tax

BIR Releases Vaping Law Tax Guidelines

A man vapes outside a restaurant in Mandaluyon on November 12, 2019. Gigie Cruz, ABS-CBN News/Dossier

MANILA—The Bureau of Internal Revenue (BIR) has issued guidance on the implementation of the Vaping Law which sets the price floor for heated, vapor and other e-cigarettes.

The bureau on Thursday issued Tax Regulation No. 14-2022, which acts as its implementing rules and regulations (IRR) for Republic Act No. nicotine.

In accordance with BIR regulations, the P131.04 is the floor price for a 0.7 milliliter (ml) nicotine pod. For 1.8ml and 1.9ml nicotine salts, the minimum price is P306.88 and P318.08 respectively.

Meanwhile, the floor price for a 15ml bottle of conventional freebase nicotine is P207.2.

The largest bottle that contains 30ml of regular nicotine has a minimum price of P352.8.

According to BIR East NCR Director Edgar Tolentino, the new guidelines will help the economy and ensure the health of Filipino miners.

“The BIR will have exclusive jurisdiction over taxpayer registration, product floor pricing, drafting and publication of tax regulations covering vaping items,” Tolentino said.

He said new BIR commissioner Romeo Lumagui Jr. also has a mandate to crack down on illicit vape sellers.

“We need to support the Commissioner’s plans – one thing is to focus on illegal vaping sellers because if smuggling continues we will lose huge revenue from vaping products,” he said.

The data revealed that the government has collected about 15.3 billion pesos in vaping taxes since 2019.