Basically the state of Utah is tired of waiting for the FDA to do something about this, so they figured, "Hey, let's just start taxing shit that people use everyday". How do you put a tobacco tax on a product that doesn't contain any tobacco? Read the story below.
SALT LAKE CITY — A proposal in the Utah Legislature that would tax electronic cigarettes at the same rate as regular cigarettes has put the state at the forefront of a national movement to regulate the increasingly popular devices.
More than 35 proposals calling for some type of regulation of electronic cigarettes have been introduced this year in legislatures across the country, but Utah seems to be the only state currently proposing that they be taxed like regular tobacco, said Karmen Hanson, a tobacco policy analyst with the National Conference of State Legislatures. Hanson is unaware of any state with a law like this on the books.
Often called "e-cigarettes," the battery-powered devices heat a liquid nicotine solution and create vapor that users inhale. Their popularity has spiked in recent years.
First marketed overseas in 2002, e-cigarettes first became widely available in U.S. in 2006. There are several million users worldwide today, up from a few thousand in 2006. Analysts estimate sales could double to $1 billion in 2013.