The House Committee on Ways and Means is studying the imposition of a uniform excise tax rate on freebase nicotine and nicotine salt used in vape products, citing concerns over rising youth consumption and potential long-term health costs.
Committee chair and Marikina City Representative Miro Quimbo said both fiscal and public health considerations underpin the proposal, pointing to vaping’s growing visibility among young people.
“Lumabas ka nga lang sa bahay, sa mall, sa parking lot o sa labas ng mga schools diyan, makikita mo ang paglaganap ng vaping, lalo na sa mga kabataan,” he said during Monday’s hearing.
Quimbo cited data from the Food and Nutrition Research Institute showing that nicotine product use among youth aged 10 to 19 increased from 0.8% in 2015 to 3.2% in 2019, before surging to 39.9% in 2023.
He emphasized that excise taxes on so-called “sin products” are designed to curb consumption while generating funds for public health programs.
At present, vape products are taxed under a two-tier system: ₱60 per milliliter for nicotine salt and ₱6.95 per milliliter for freebase nicotine.
The Bureau of Customs, Bureau of Internal Revenue, and Department of Finance have expressed support for shifting to a unitary rate, citing improved enforcement and simpler administration.
Quimbo also raised concerns over the long-term health risks associated with vaping, including respiratory and cardiovascular illnesses, and questioned the government’s capacity to absorb future healthcare costs.
“We cannot allow a generation to become heavily nicotine-dependent, only to realize later that we underpriced the health risks and underfunded the consequences,” he said.