The 40% Tobacco Tax was passed and signed by Gov. Tom Wolf and was effective on 10/1/16. See the following:
Unfortunately since we are within the state of PA we are forced by the state to charge the taxes, but the state unfairly does not enforce this against others who are located outside the state. Technically if you order from a company outside the state that does not charge the taxes, you are required to complete a form monthly and pay the taxes to the state. We have attached the form that PA residents are supposed to complete monthly just to show how ridiculous this tax law has become. We highlighted this issue in a blog post around the time the tax law was passed in 2016:
While we haven’t heard of anyone who has received a $5000 fine or jail time for tax evasion in the 4+ years since the law was passed, the threat is still out there. The state has promised to step up enforcement for years on those out of state shippers, but nothing has really changed over the years. To make maters worse, soon e-liquid retailers will be forced into the PACT act by an amendment added by the Democrats the most recent Omnibus bill that offers the $600 stimulus checks and “Covid Relief”. The PACT act will force all online retailers to register with the federal government and force all taxes (tobacco and sales taxes) to be paid no matter where they are located. Retailers are threatened with 3 years imprisonment if they do not register. Also included in that bill is an amendment that will prohibit the USPS from carrying vaping products to consumers for home delivery. With Fed-Ex already voluntarily following suit that leaves UPS and DHL and there are rumors that UPS may follow suit as well. These issues are going to make things much more difficult for any online retailer going forward. More about these here:
Because of the tax issue, quite some time ago we started offering a free First Class/Ground shipping option with a $25 order and free Priority Mail shipping with a $40 order. The amount to receive free shipping outside the state is anywhere from $75 - $100 minimum order. We understand this does not totally negate the tax issue, but who wants to mail in a form every month and pay the taxes directly. At least with purchasing from us, you know the taxes are paid and there is no threat of fines from the state.