Vape Taxes Rising in Five More Provinces by 2025

Starting January 1, 2025, vaping products in Alberta, Manitoba, New Brunswick, Yukon, and Prince Edward Island will need province-specific excise stamps, effectively increasing retail prices in these areas. This policy covers all vaping products made or brought into the provinces for sale, meaning prices and selection are likely to shift for many consumers.

Latest Vape Tax Updates Across Canada

On July 1, 2024, Ontario, Quebec, Nunavut, and the Northwest Territories rolled out their own provincial vape taxes, stacking on top of federal vape fees. The new combined rate currently sits at $2.24 per 2 mL for the first 10 mL and $2.24 per 10 mL thereafter.

Come January 1, 2025, Alberta, Manitoba, New Brunswick, Yukon, and Prince Edward Island will introduce similar measures, matching that same $2.24 structure. With the addition of province-specific stamps and increased taxes, expect vaping costs to rise across these regions. Staying aware of these changes is key to planning your future purchases.

A Snapshot: Canada’s Vape Tax Timeline (2025 Edition)

January 1, 2023: Federal Vape Excise Tax Launches

  • Rates:
    • $1.00 per 2 mL for the first 10 mL
    • $1.00 per 10 mL for any volume above 10 mL

July 1, 2024: 12% Federal Tax Increase + New Provincial Taxes

  • Updated Federal Rates:
    • $1.12 per 2 mL for the first 10 mL
    • $1.12 per 10 mL for any volume beyond 10 mL
  • Provincial Taxes (ON, QC, NU, NWT):
    • $1.12 per 2 mL + $1.12 per 2 mL = $2.24 per 2 mL for the first 10 mL
    • $1.12 per 10 mL + $1.12 per 10 mL = $2.24 per 10 mL beyond 10 mL

September 30, 2024: Older Product Removal Deadline

All vaping items taxed under the old rates had to be cleared from inventory, disrupting supply chains and product availability for Canadian vapers.

January 1, 2025: More Provinces Join the Tax Hike

  • Alberta, Manitoba, New Brunswick, Yukon, Prince Edward Island:
    • $2.24 per 2 mL on the first 10 mL
    • $2.24 per 10 mL beyond 10 mL
  • Province-Specific Stamps: All products sold here must display these new excise stamps.

March 31, 2025: Last Chance for Unstamped Products

After April 1, 2025, selling any vape items without province-specific stamps in AB, MB, NB, PEI, and YT becomes illegal. Prepare for potential delays as businesses switch over to compliant inventory.

Who’s Impacted by the New Regulations?

Small Businesses & Vape Retailers

  • Higher Overheads: The need for new stamps, plus extra reporting, will boost operating costs.
  • Risk of Dead Inventory: Items without provincial stamps must go, leading to possible financial losses and environmental disposal concerns.
  • Fines & Penalties: Selling unstamped products can incur steep fines.
  • Supply Chain Delays: Transition periods are likely to disrupt shipments, inventory, and ultimately customer satisfaction.

Canada’s 1.9 Million Vapers

  • Price Increases: Costs will climb due to combined excise taxes and compliance fees.
  • Restricted Options: A smaller range of flavors and devices might be available if shops can’t adapt quickly.
  • Availability Gaps: Some regions may face restocking delays, temporarily limiting product choices.

The Broader Impact

These policy shifts aim to streamline vaping regulations across provinces and funnel an estimated $310 million in federal revenue. However, the ripple effects on businesses and consumers—especially those mindful of their budgets—cannot be overlooked. Stay on top of these rules if you want to avoid surprises at checkout.

Spotlight on Alberta & Manitoba

Alberta Vape Tax

As of January 1, 2025, Alberta’s vape tax will mirror the federal rates, effectively doubling the overall tax. This means:

  • $11.20 on a 10 mL bottle
  • $15.68 on a 30 mL bottle
  • $22.40 on a 60 mL bottle

Many Albertans are stocking up early to bypass the looming price hike.

Manitoba Vape Tax

Beginning January 1, 2025, Manitoba’s provincial vape tax will also match federal excise rates:

  • $11.20 tax on 10 mL
  • $15.68 on 30 mL
  • $22.40 on 60 mL

Just like in Alberta, savvy vapers in Manitoba are buying in advance to save money before the increase.

Why Are Vapes So Expensive in Canada?

Canada ranks third worldwide in vape taxes, trailing only South Korea ($3.68/mL) and Israel ($3.26/mL). Currently, Canada’s rate stands at $2.24 per 2 mL, though it varies by province. These elevated taxes can disproportionately affect casual or cost-conscious users, potentially undermining vaping’s role as a smoking alternative.

Yet despite higher taxes, vaping is still more economical compared to smoking:

  • In Ontario, a 2 mL pod carries $2.24 in tax, while a 20-pack of cigarettes is taxed at $3.70.
  • One 2 mL vape pod offers around 500 puffs, about the same as a 20-pack of cigarettes, making the tax roughly $0.20 per 500 puffs.
  • Vaping avoids many of the harmful byproducts of smoking—like tar and carbon monoxide—and adheres to 20 mg/mL nicotine limits in Canada, reducing addiction risks.

How to Save on Upcoming Vape Tax Increases

Effective March 31, 2025, many online vape shops, including ZPods, will adjust prices for AB, MB, NB, YT, and PEI to reflect new vape taxes. Here are some strategies to keep more cash in your pocket:

  1. Embrace Pod Systems or Hybrid Devices
    While disposable vapes are user-friendly, switching to refillable pod devices can significantly reduce long-term costs. You’ll be taxed on the e-liquid separately, rather than paying more for each pre-filled disposable.
  2. Stock Up in Advance
    Provinces that introduced these taxes earlier saw retailers struggle to replace inventory for up to two months. If you have a favorite flavor, buy a few months’ supply now while prices are still comparatively low.

By planning ahead and exploring device options, you can ride out the tax changes without busting your budget.

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