New User-Fee Charge Could Affect The E-cigarette Industry Forever
In order to even sell e-cigarettes, companies have to pay the United States a fee for all users that purchase the devices. It’s very much like tax but it works differently. Trumps government has designed this new plan, they say, in an effort to stop under-age smoking.
The money that the United States receives won’t be spent on thing like hospitals, transport or anything like that. This money will be spent on a brand new company that is designed to watch and maintain control of youth smoking.
Trump said that this new plan “would ensure that FDA has the resources to address today’s alarming rise in youth e-cigarette use as well as new public health threats of tomorrow.”
The FDA want more money!
The FDA which stands for Food and Drug Association is asking for a huge $6.1 billion in funding which is an increase of $418.5 million, that’s a huge boost over what it currently receives and it’s going to be a difficult task to find the cash.
They make most of their money through cigarette user fees which counts for over 80% of user fees in the US. They want to enforce user fees for e-cigarettes so that they can get closer to their target, plus they are putting e-cigarettes in the same category as regular cigarettes which is pretty disgusting since they are quite literally saving lives unlike traditional cigarettes that take life away.
User-fee is a fancy word for tax!
Other people think that this is just an excuse to tax people much more than they already do. “This is a tax, not a ‘user fee,’” she said. “‘User fee’ is lingo that Republicans and conservative Democrats use when they’re about to hike taxes but don’t want to admit that’s what they’re doing.” She added that the government should pursue policies to keep vaping taxes low to encourage adult smokers to switch to e-cigarettes.
They are trying to say that by charging user-fees the government will have more money to stop minors from ever touching cigarettes and e-cigarettes. It’s a pretty big conspiracy theory but it’s obvious that the intention could be to make more money for the US than looking after children and the youth in danger of inhaling the smoke from an e-cigarette.
The FDA says while they are an alternative to smoking and help to reduce the risk of smoking related diseases. They still have to go through years of testing and a whole lot more regulation before they can be as available as cigarettes.
The scare that the US has it based more around the sale of flavoured e-liquids as the colourful and sweet tasting liquids can appeal to a younger demographic. However that doesn’t mean that liquid manufacturers are purposely targeting younger children that are all down to how each person perceives it. What Trump is doing will have a positive impact on Americas budget but a negative impact for people that do vape, with the risk of increased prices.