Arizona Representative Wants to Tax E-Cigarettes

Source from:  ABC 15 Phoenix 12/17/2014

Arizona State Representative Lisa Otondo (D-4) is poised to introduce legislation that would tax electronic cigarettes like tobacco cigarettes.

With Arizona facing a projected $500 million budget shortfall in 2015, she thinks the tax is a sensible way to help fill that gap.

"The revenue from this taxation could bring in $6 million," Otondo said. "We need the revenue."

Cigarettes are taxed at $2 a pack in Arizona, Otondo said. She will be asking for a tax that would essentially be the equivalent of that: $1.06 taxed onto every milliliter of liquid nicotine sold.

"Tobacco products are already taxed," she said, "why aren't e-cigarettes?"

Last session, Otondo argued against a bill that would have classified e-cigarettes differently than traditional cigarettes and other tobacco-related products.

"It's argued that it's not tobacco, but the liquid is derived from tobacco," she said.

The American Lung Association (ALA) also opposes this kind of differentiation between e-cigarettes and tobacco-related products because it could undermine existing anti-smoking laws.

RELATED: Are e-cigarettes safe to use?

The ALA supports taxes like the one Otondo is proposing.

Still, Otondo expects to have to fight to get a bill like this heard in the legislature and passed.

In Arizona, any new legislation that would increase state revenue through taxation has to be approved by a two-thirds vote in both houses.

Otondo also expects opposition from a strong tobacco lobby, she said.

"This will be no easy feat to get this bill through," she said. "But, I'm going to fight for it." Enditem