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PA vapers: anyone been to a B&M since 10/1/16?


Catalyst

Bronze Contributor
Member For 4 Years
If so, please share your experience. I know that an alternate tax plan has been proposed (5 cents per ML as opposed to 40% on everything) ... But it will not be voted on until the 18th. In the meantime, has the 40% tax gone into effect, and is it being passed on to the customer?
 

Jimi D

Gold Contributor
Member For 4 Years
ECF Refugee
I've seen a vape shop shut down. The one closest to me is still open. Haven't gone in tho.
 

Catalyst

Bronze Contributor
Member For 4 Years
I've seen one close down aug 8th. Havnt been to one myself in October yet. I might check one out tonight after work.
 
Have not been to any B&M since October 1st but I do know a few shops in PA are not selling online to customers in PA for whatever reason.
 

Catalyst

Bronze Contributor
Member For 4 Years
Fl. Keys :D The shop that closed down is in Canonsburg Pa
Guntown Vape? I've been in there a few times. Anthony was a good guy, he taught me a lot. Bought my first RTA from him. Kayfun v4. It's a damn shame. Someone successfully following their dream, only to be squashed by a government that only cares about lining their pockets.
 

Jimi D

Gold Contributor
Member For 4 Years
ECF Refugee
Guntown Vape? I've been in there a few times. Anthony was a good guy, he taught me a lot. Bought my first RTA from him. Kayfun v4. It's a damn shame. Someone successfully following their dream, only to be squashed by a government that only cares about lining their pockets.
Yes, that's the one. I'm surprised Amodio is still open.
 

Catalyst

Bronze Contributor
Member For 4 Years
Amadio's actually went to Harrisburg to protest last week. I'm hoping that the compromise bill passes. And hopefully not too little too late...
 

Beeboqueef

Bronze Contributor
Member For 4 Years
I'm just now finding this thread. YES the 40% tax is in effect, but the shops I've been to except for one, are NOT passing it all on to the customer. I still frequent two of my local shops in the Williamsport, PA area. I will support them as long as I can. They both have gone above and beyond to make sure their customers are feeling as little of the impact as possible. The one shop has a warehouse within PA and no longer ships to PA residents. I'm not positive as to why and I don't want to speculate, but if I had to guess it's to avoid needing to purchase yet another license.

We have one shop that shut their doors in September before the tax was even implemented and their is another shop a bit further from me, that IS in fact accounting for the 40% on top of the retail to the customer. Haven't been back to that one.

So of the 4 shops within 30 minutes of me, two are still going strong, one is closed and one is raking their customers over the coals.
 

bugalien

Bronze Contributor
Member For 3 Years
deleted. OOPS! Not the right state. It is awful what is happening in PA though.
 
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eSMOKA

Silver Contributor
Member For 4 Years
The one shop has a warehouse within PA and no longer ships to PA residents. I'm not positive as to why and I don't want to speculate, but if I had to guess it's to avoid needing to purchase yet another license.
I think you're talking about LiteCigUSA maybe? I have no idea why they stopped shipping to PA residence. They have a B&M store in PA, so they are already selling to PA residents!

As far as I know, the PA tax has nothing to do with where you ship, it's where you receive your inventory and ship/sell from. So even though they do not ship to PA residents, they would still be liable for the 40% PA vapor tax on all inventory. And since they sell to PA residents in their B&M store anyway, this leaves me scratching my head. Of course, they didn't answer my email when I asked about it. But I would not expect a retailer with such low prices to answer emails very diligently LOL.

So there must be something to this whole mess that I do not know about.

This is no surprise, the PA state govt is VERY corrupt. I know, they all are, but PA is probably in the top 5 most corrupt state govts in the history of the USA.
 

Beeboqueef

Bronze Contributor
Member For 4 Years
I think you're talking about LiteCigUSA maybe? I have no idea why they stopped shipping to PA residence. They have a B&M store in PA, so they are already selling to PA residents!

As far as I know, the PA tax has nothing to do with where you ship, it's where you receive your inventory and ship/sell from. So even though they do not ship to PA residents, they would still be liable for the 40% PA vapor tax on all inventory. And since they sell to PA residents in their B&M store anyway, this leaves me scratching my head. Of course, they didn't answer my email when I asked about it. But I would not expect a retailer with such low prices to answer emails very diligently LOL.

So there must be something to this whole mess that I do not know about.

This is no surprise, the PA state govt is VERY corrupt. I know, they all are, but PA is probably in the top 5 most corrupt state govts in the history of the USA.
I believe it was to avoid having to purchase yet another license.

Sent from my SM-G920V using Tapatalk
 

eSMOKA

Silver Contributor
Member For 4 Years
Being that they have a B&M in PA, they need to get a license anyway.

According to PA law, any wholesaler or retailer or person who sells tobacco or OTP (Other Tobacco Products) to PA retailers and consumers is required to collect and pay the tax and obtain a license from the State of PA Dept of Revenue in order to do so.

The cost for a license is $1,500/ year for a wholesaler and $25/year per location for a retailer. But it also comes with other headaches so I would not be surprised if all vape online retailers stop shipping to PA soon if this law is not repealed. But having lived in PA all my life, and knowing that it is one of the most corrupt state govts in the USA, I'm not holding my breath.

Here are some highlights from the following PDF
http://www.revenue.pa.gov/GeneralTaxInformation/Tax Types and Information/Documents/tobacco_products_tax_qa.pdf
(caution: prepared to be sick to your stomach, especially if you live in PA)

I own a tobacco products business located in PA and all of my products are sold to out-of-state businesses, do I need a license?

Yes.

Do I need a license if my business is out -of-state and sells online to PA customers?

Yes, depending on your business structure you will need the corresponding license. Manufacturers need a manufacturer’s license and wholesalers need a wholesale license.

Are online sellers of electronic cigarettes required to be licensed?

Yes. Any online seller that sells electronic cigarettes into Pennsylvania must be licensed and must collect the tax on sales to a Pennsylvania retailer or consumer.

What is the tax basis for the tax on vapor products?

The tax is based upon the selling price from the distributor/manufacturer to the retailer.
The distributor/manufacturer cannot arbitrarily reduce the price to the retailer and therefore lower the tax liability without the permission of the Department of Revenue.

Who is responsible for payment and reporting of the tax?

Wholesalers and manufacturers are required to collect tax from retailers.
Online sellers are required to collect the tax from Pennsylvania retailers or individual consumers in Pennsylvania.

This next paragraph is poorly written, but you get the point...

A consumer who purchases tobacco products using the internet or mail order catalogs for personal possession or use in Pennsylvania from persons or business without a Pennsylvania tobacco products license, or where the tax has not been collected and remitted.

To file and remit the tax a consumer will complete the (REV-1809) Consumer Tobacco Products Use/Excise tax return, available at revenue.pa.gov.
 
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Beeboqueef

Bronze Contributor
Member For 4 Years
Yes they do have to have a license anyway, but it has to do with their warehouse being in PA. Them having 3 retail locations isn't part if the equation here. It was something with the licensing and the owner decided it was the best way around it by not shipping from the warehouse to the customer. I'm trying to remember what it was exactly. I'll try and remember to ask next time I go in.

Sent from my SM-G920V using Tapatalk
 

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