KUALA LUMPUR: The local vape industry has urged the government to share the taxation guidelines for nicotine vape liquids, which will take effect on January 1, 2022.
This includes guidelines for the maximum amount of nicotine allowed in vape liquids.
Malaysian Vape Industry Advocacy (MVIA) president Rizani Zakaria said the industry has yet to receive any feedback on the high tax rate and the maximum dose of nicotine allowed in vape liquids.
He said the industry has also requested the government to expedite in sharing the information on the new tax and guidelines for the vape industry.
"Manufacturers and producers are still unsure about the tax rate that the government will implement and the maximum levels of nicotine allowed in vape liquids set for sale.
"There are only a few days left to 2022, and the industry still does not have the information needed," he said in a statement today.
In the 2022 Budget presentation last October, the taxation level for vape liquids was increased by 200 per cent to RM1.20 per millilitre, including nicotine vape liquids.
The industry had also requested the government to review the excise tax rate as it is too high.
Meanwhile, the Ministry of Health has yet to share details on the maximum level of nicotine allowed in vape liquids once the taxation framework is implemented in January 2022.
Rizani said the government should not delay this matter as it will affect the operations of producers and manufacturers in the vape industry if the information is not obtained before the new tax policy implementation takes place.
He said the tax rate would cause the price of vape liquids to increase.
As a result, manufacturers and producers must undertake preliminary preparations before the start of the new year to avoid any disruptions in their operations.
Furthermore, manufacturers and producers must also ensure that vape liquids with nicotine levels that exceed government guidelines are removed from their stock.
"All this requires preparation, and the industry has so far not received any updates from the government," Rizani said.
On the maximum rate of nicotine, the industry has suggested the government to look at countries such as the United States and the Philippines, where the maximum rate set is 65mg per millilitre.
There are also examples in New Zealand where the maximum rate is 50mg per millilitre while most European countries are at 20mg per millilitre.
"The industry fully supports all the government's efforts and actions in working towards regulating the industry.
"We are ready to comply with any guidelines provided. However, we hope that the government can provide feedback immediately on this matter," said Rizani.