Senate Bill 20 aims to impose 40% tax on vaping products to reduce youth addiction

March 12, 2025 | House of Representatives, Legislative, New Mexico


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Senate Bill 20 aims to impose 40% tax on vaping products to reduce youth addiction
A proposed nicotine tax aimed at curbing youth vaping took center stage during a recent New Mexico Legislature Health and Human Services Committee meeting. Senator Martin Hickey presented a committee substitute for Senate Bill 20, which seeks to impose a 40% tax on vaping products, emphasizing its potential to reduce addiction pathways among young people transitioning into adulthood.

"This bill is really about health for youth," Hickey stated, highlighting the alarming trend of nicotine use among adolescents. He noted that while vaping among high school students has decreased from 32% to 25%, there is a concerning rise in the use of nicotine pouches, which do not produce vapor and can be used discreetly. The proposed tax is expected to generate approximately $5.6 million, which would be directed towards educational programs aimed at preventing nicotine addiction.

Opposition to the bill emerged from various stakeholders, including representatives from small businesses and tobacco companies. Art Hull, representing Native Trading Associates, argued that the tax would disproportionately affect low-income residents and could drive users back to traditional cigarettes or the black market. "This bill does nothing about addiction or cessation," Hull asserted, urging lawmakers to reconsider the financial burden on vulnerable communities.

Supporters of the bill, including the American Heart Association, countered that increased costs have historically discouraged nicotine consumption. Mahesh Sikka from the association pointed out that 25% of youth currently use e-cigarettes, underscoring the urgent need for legislative action to combat this public health crisis.

The committee's discussions revealed a divide among lawmakers, with some expressing concerns that the tax could inadvertently push users back to cigarettes, while others maintained that the health benefits of reducing youth access to nicotine far outweigh the potential drawbacks. As the debate continues, the future of Senate Bill 20 remains uncertain, but its implications for public health and youth addiction prevention are clear.

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Scribe from Workplace AI
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