This is a cut and paste from the PA Dept of Revenue site:
OTHER TOBACCO PRODUCTS TAX
Effective October 1, 2016, tax is imposed on smokeless tobacco, roll-your-own tobacco, pipe tobacco, e-cigarettes, including the products and substances that go into the e-cigarettes, and any other tobacco products for chewing, ingesting or smoking, except cigars.
E-cigarettes/Vapor products
The tax rate on the sale of e-cigarettes and any liquid substances that go into them or any item that is sold for use in e-cigarettes is 40 percent of the purchase price from the wholesaler. For example: If the retailer purchased an e-cigarette for $10. The retailer would pay tax of $4. The tax on e-cigarettes is effective beginning October 1, 2016.
Roll-your-own, chewing tobacco, snuff and pipe tobacco
The tax is 55 cents ($0.55) per ounce, with a minimum tax per package of 66 cents ($0.66). For example, if the retailer purchases 100 ounces of tobacco in two-ounce packages the tax due would be $55. If the same quantity is purchased in one-ounce packages, the tax due would be $66. The tax on chewing tobacco, snuff and pipe tobacco is effecting beginning October 1, 2016.
The effective day for the tax on roll-your-own tobacco is 60 days after the Pennsylvania Attorney General publishes a notice in the Pennsylvania Bulletin announcing it has reached an agreement with the participating manufacturers under the Master Settlement Agreement.
List of what is taxable under the Tobacco Products Tax
E-cigarettes,
Liquids or any other substance that goes into e-cigarettes,
Roll-your-own tobacco,
Pipe tobacco,
Periques,
Granulated tobacco,
Plug cut tobacco,
Crimp cut tobacco,
Ready rubbed tobacco,
Chewing tobacco,
Snuff,
Dry snuff,
Snuff flour,
Cavendish,
Plug and twist tobacco,
Fine cut tobacco, and
Any other type or variation of smoking and or chewing tobacco.
Licensing
Both wholesalers and dealers need an Other Tobacco Products (OTP) license. Every location of a wholesaler or dealer, including vending machines, must be individually licensed. Existing cigarette tax license are not valid for other tobacco products. Additional information relating to licensing, including the applications, will be available September 1, 2016. The cost of an OTP license is as follows:
Wholesaler & Manufacturer license are $1,500 per location.
Retailer license are $25 per location.
Vending machine license are $25 per location.
ALSO:
Who is responsible for payment and reporting of the tax?
Wholesalers and manufacturers are required to collect tax from retailers.
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.
AND THIS:
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.
And this is why I have cellared deep, and I mean deep as I saw this coming when our Governor was running for office. I understand that I could be prosecuted for not paying this extra tax along with the PA sales tax. And since it would appear that businesses such as SPC would have to have a license to sell to PA residents, it would follow that the State of PA would then have no trouble getting information on out of state purchases. In effect it would seem my days of buying any more tobacco are over. So could the businesses not in PA then choose to restrict sales to PA customers.
Now when is the darn War Horse Bar coming out?
