Ireland’s new excise duty on e-liquids comes into force today, adding €0.50 per millilitre to the cost of all vape and e-cigarette liquids—both nicotine-containing and nicotine-free—under the E-liquid Products Tax (EPT). The Government says the measure is designed to reduce youth uptake and guard against potential health risks associated with vaping.
The tax, enacted via the Finance Act 2024 and activated when Minister for Finance Paschal Donohoe signed a commencement order on 25 September 2025, applies at the point of first supply into the State: import, manufacture or distribution. Revenue published supplier guidance on 30 September, leaving businesses one month to prepare.
Health Minister Jennifer Carroll MacNeill said: “We do not know the long-term harms of vaping products and most contain nicotine which is highly addictive. Protecting children and young people from these products is a priority for this Government.”
What the tax does
- Duty rate: €0.50 per ml on all e-liquids used in inhalation devices, including zero-nicotine liquids.
- Liability: Falls on suppliers at first supply (import/manufacture/distribution), not on retailers sourcing domestically.
- Administration: Suppliers must register with Revenue, file electronic returns, pay duty, and retain records for six years.
- Exemptions: Products licensed for nicotine replacement therapy (NRT) by the Health Products Regulatory Authority are exempt.
Price impact: examples before VAT and retail margins
- 2 ml disposable device: €1 in excise.
- 10 ml refill bottle: €5 in excise.
- 50 ml shortfill: €25 in excise.
Note: VAT and retail mark-ups are applied on top, so shelf prices will rise further. Consumers across Cork and the rest of Ireland should expect visible increases; the exact change will vary by product and retailer.
Industry implications
- Zero-nicotine included: Taxing non‑nicotine liquids brings shortfills and DIY mixing squarely into scope, likely reshaping product ranges and pricing strategies.
- Cash flow and compliance: Wholesalers and importers will carry the tax burden at first supply, requiring registration, stock accounting, and monthly returns via Revenue systems.
- Market composition: Higher duties on larger volumes may push demand toward smaller formats or drive shifts from disposables to reusable devices, depending on how retailers price and consumers respond.
- Cross-border dynamics: Price differentials with nearby markets could encourage cross-border purchasing if gaps widen, a factor suppliers will watch closely alongside enforcement against illicit trade.
Part of a broader policy package
The EPT arrives alongside planned measures on packaging, flavours, advertising and display restrictions, and a possible ban on single-use disposable vapes. Together, these steps mark one of the most significant regulatory overhauls since e-cigarettes became widely available in Ireland.
What suppliers should do now
- Register with Revenue as a liable supplier of e-liquid products.
- Classify all SKUs (including nicotine-free) for duty purposes and update ERP/inventory systems to track volumes.
- Adjust price lists and contracts to reflect excise, VAT, and margins; communicate changes to retail partners.
- Implement record-keeping processes to meet the six-year retention requirement.
- Review product portfolios for HPRA-licensed NRT exemptions and consider reformulation or pack-size strategies.
- Prepare for Revenue audits by documenting first-supply events and duty calculations.
What consumers can expect
- Noticeable price increases across disposables and refill bottles.
- Potential shifts in availability and pack sizes as brands adapt to duty costs.
- Further changes ahead as flavour, packaging, and display rules are introduced; single-use disposables may face additional restrictions.
This tax represents a decisive public health intervention aimed at curbing youth access and use. For the vape sector, it is a structural change that will test pricing, compliance, and product strategy over the coming months. Vape Observation will track implementation, industry responses, and the next phase of regulatory proposals as they move through the legislative process.
