Frequently Asked Questions
Who is liable for the excise tax on vapor products?
The wholesale dealer, authorized manufacturer or retail dealer who first acquires or otherwise handles vapor products and electronic cigarettes in Louisiana is liable for the tax. Retail dealers who receive vapor products on which the excise tax has not been paid are responsible for the tax.
Who is a “Louisiana Tobacco Wholesale Dealer”?
A listing of registered Louisiana tobacco wholesale dealers may be found on the Office of Alcohol and Tobacco Control’s website at https://atc.louisiana.gov
Who is a “Louisiana Authorized Manufacturer”?
A listing of Louisiana authorized vapor manufacturers may be found on the Office of Alcohol and Tobacco Control’s website at https://atc.louisiana.gov.
Who is a retail dealer?
A retail dealer is every person other than a Louisiana tobacco wholesale dealer or authorized manufacturer who sells or offers for sale a consumable vapor product irrespective of quantity or the number of sales.
What is a vapor product?
Any noncombustible product containing nicotine or other substances that employ a heating element, power source, electronic circuit, or other means, regardless of shape or size that can be used to produce vapor from nicotine in a solution or other form. The term includes any vapor cartridge or other container of nicotine in a solution or other form that is intended to be used with or in an electronic cigarette, electronic cigar, electronic cigarillo, electronic pipe, or similar product or device.
What is a consumable vapor product?
A consumable vapor product is any nicotine liquid solution or other material containing nicotine that is depleted as a vapor product is used. This includes, but is not limited to, prefilled tanks used in rechargeable and non-rechargeable [disposable] vapor products and the end liquid product blended for sale to the consumer.
How much is the excise tax on consumable vapor products?
For tax periods beginning on or after July 1, 2023, the excise tax on vapor products is at the rate of fifteen cents ($0.15) per milliliter of consumable nicotine liquid solution or other material containing nicotine that is depleted as a vapor product is used. For tax periods prior to July 1, 2023, the excise tax on vapor products is at the rate of five cents ($0.05) per milliliter of consumable nicotine liquid solution or other material containing nicotine that is depleted as a vapor product is used.
Is the excise tax calculated on the liquid nicotine content in the vapor product or on the entire consumable vapor product itself?
The tax is calculated on the entire consumable vapor product.
Is a consumable vapor product that contains zero nicotine subject to the excise tax?
No. The consumable vapor product must contain nicotine for it to be subject to the tax.
Do I need to get a permit from the Office of Alcohol and Tobacco Control to sell vapor products?
Wholesale dealers and retail dealers must obtain a permit from the Louisiana Office of Alcohol and Tobacco Control according to LA R.S. 26:902. Manufacturers must be authorized by the Louisiana Office of Alcohol and Tobacco Control in accordance with LA R.S. 26:911(D).
Permit applications and information required by the Office of Alcohol and Tobacco Control can be found on their website at http://www.atc.rev.state.la.us/.
Do I need to register with the Department before I sell vapor products at retail?
Retail dealers need to be registered with the Louisiana Department of Revenue for the purpose of remitting sales tax on retail transactions and to remit the vapor product excise tax if they buy any non-tax-paid product.
As a retail dealer, will I need to provide the Department a bond to be licensed to sell vapor products?
A surety bond will not be required at this time of retail dealers selling vapor products. The Department will periodically review the sufficiency of whether a bond is needed and may require a retail dealer to furnish a bond in an amount that adequately protects the State from loss if the dealer fails to pay taxes.
What form do I fill out to remit the tax on the consumable vapor products?
Registered wholesale dealers and authorized manufacturers are to complete Form R-5604, Tobacco Tax Return on a monthly basis. The return is due twenty (20) days after the end of the month covered by the report.
Retail dealers purchasing vapor products from someone other than a Louisiana tobacco wholesale dealer or authorized manufacturer are required to complete Form R-5608, Tobacco Tax Return for Retail Dealers of Vapor Products. This form is to be submitted on a monthly basis and is due twenty (20) days after the end of the month covered by the report. Individual consumers purchasing non-tax paid product through the mail/internet must complete Form R-5629, Consumer Excise Tax Return, located at https://www.revenue.louisiana.gov/Forms/ForBusinesses.
Can I file or pay the excise tax on vapor products electronically?
How do I register to file Form R-5608, Tobacco Tax Return for Retail Dealers of Vapor Products?
If you do not have a LaTAP account, please go to www.revenue.louisiana.gov/latap to register. Simply click on the Register for a LaTAP Account link and follow the instructions. Taxpayers who do not have an LDR account can register for a business account on the LaTAP site. For additional assistance registering your business, creating a LaTAP account or adding a tax type, visit www.revenue.louisiana.gov/FAQ and select LaTAP.
Please note at least one location must be registered when adding the Vapor Retailer tax type.
I have multiple locations; can I file one consolidated return for all locations?
Yes, if multiple locations are being reported on one return, each location must be registered as a branch location. Each business location must have the location name, location address, and NAICS Code.
I am a convenience store in Louisiana that buys all my consumable vapor products from a Louisiana wholesale dealer. Do I need to be licensed by the Department?
You do need a tobacco retail dealer permit from the Louisiana Office of Alcohol and Tobacco Control and you need to be registered with the Department of Revenue for the remission of sales tax. However, since you are buying tax-paid consumable vapor products, you are not required to file and pay the excise tax on vapor products. If at any time you buy non-tax paid consumable vapor products, you would be liable for the excise tax and must be registered with the Department to pay that tax. If you wish to not be liable for the excise tax, make sure that you are buying tax-paid consumable vapor products. Asking the seller for a license or making sure the excise tax is applied to the invoice is an indication that the consumable vapor products you are buying are already tax paid. A listing of tobacco wholesale dealers and authorized manufacturers may be found on the Office of Alcohol and Tobacco Control’s website at https://atc.louisiana.gov.
I currently manufacture the consumable vapor product that is sold to Louisiana customers. Is there specific information that must be included on customer invoices?
Yes. All invoices for consumable vapor products sold to Louisiana customers must include the amount of consumable vapor product sold stated in milliliters.
Can a wholesale dealer or a retail dealer pay the tax based on sales or purchases of consumable vapor products?
Wholesale dealers are to pay the tax based on the quantity of product purchased for sale in Louisiana. Retail dealers who obtain non-tax-paid product or who manufacture the consumable vapor product are to pay the tax on the consumable vapor product purchased and/or produced for sale in Louisiana. However, if the retail dealer obtains tax-paid product it must be stated on the invoice from the wholesaler.
I need to return some vapor product back to the manufacturer. What do I need to do?
A wholesale dealer or retail dealer who is primarily liable for the vapor products tax and is in possession of stale or otherwise unsalable vapor products upon which the tax has been paid may return the products to the manufacturer and deduct the quantity returned on their tax report. An affidavit from the manufacturer listing the vapor products returned to the manufacturer must accompany the return on which credit is claimed.
How can I get a copy of my tax return?
Taxpayers may request copies of any tax return or other previously filed document by completing Form R-7004, Tax Information Disclosure Authorization. Instructions for the form can be found at https://www.revenue.louisiana.gov/Forms/ForBusinesses.
The research fees for copies of tax returns authorized by R.S. 47:1507 are as follows:
- $15.00 for a copy of any tax return or other document for each year or tax period requested, regardless of whether the requested return or document is located.
- $25.00 for each certified copy of any return or other document for each year or tax period requested, regardless of whether the requested return or document is located.
All research fees for copies must be paid when you submit the Form R-7004,Tax Information Disclosure Authorization. Payments can be by check or money order made payable to the Louisiana Department of Revenue. Cash cannot be accepted. Credit card payments can be submitted in Louisiana File Online.
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