Nevada

Background

Governor Steve Sisolak signed Senate Bill 263 on 12 June 2019. The sponsors of the bill described it as “an Act relating to public health”. It regulates vapor products as other tobacco products which are subject to restrictions on use in public spaces and limits on underage sales.

Vapor products treated as “other tobacco products”

Section 1.7 of the bill classifies vapor products and “any alternative nicotine product” as other tobacco products. According to Section 2 vapor products include “any noncombustible product containing nicotine or any other substance that employs a heating element, power source, electronic circuit or other electronic, chemical or mechanical means” including electronic cigarettes.

Vapor products subject to tax

By classifying vapor products as other tobacco products, Senate Bill 263 renders them subject to the same excise tax, which is currently 30% of the wholesale price. Wholesale and retail dealers of vapor products will now be required to obtain a license from the Department of Taxation. Senator Julia Ratti, a key sponsor of the bill, claims that the goal of the legislation is to reduce usage by raising the price. 

The classification of vapor products as other tobacco products and the application of the excise tax went into effect upon the Governor’s signing the bill on June 12