EDN107 Additional specified vaping province effective February 26, 2026
Excise Duty Notice
March 2026
This notice provides information regarding amendments made to the Excise Duties on Vaping Products Regulations, including the addition of Nova Scotia as a specified vaping province and applicable transitional rules.
The amendments to the Regulations came into force on February 26, 2026.
Except as otherwise noted, all statutory references in this notice are to the provisions of the Excise Act, 2001. In addition, all references to the "Regulations" are to the Excise Duties on Vaping Products Regulations. The information in this notice does not replace the law found in the Act and its regulations.
If this information does not completely address your situation, refer to the Act or regulations or contact your regional excise office for additional information. The offices are listed at Contact information – Excise and Specialty Tax Directorate.
Overview
The Canada Revenue Agency (CRA) is responsible for administering and enforcing the excise duty framework for vaping products under the Excise Act, 2001, including the coordinated vaping duty system with specified vaping provinces. The framework includes the imposition of excise duties that generally apply to vaping products manufactured in Canada or imported into Canada and intended for the duty-paid market. The vaping duty and additional vaping duty, as applicable, apply to vaping products whether or not they contain nicotine.
Definitions
The following terms are defined in the Act or related regulations and used in this notice:
Additional vaping duty means a duty imposed under section 158.58 in respect of a specified vaping province. This is in addition to vaping duty imposed under section 158.57.
Coordinated vaping duty system means the system providing for the payment, collection, and remittance of additional vaping duty imposed under section 158.58, subsections 158.6(2) and 158.61(2), and any related sections.
Qualifying vaping product means a vaping product that is not stamped to indicate that additional vaping duty in respect of a specified vaping province has been paid and that is either:
- manufactured in Canada and stamped before April 2026
- imported by a vaping product licensee for stamping by the licensee and stamped before April 2026
- imported by a person that is not a vaping product licensee, such as a vaping prescribed person or a person importing for their personal use, and imported or released under the Customs Act before April 2026
Stamped, in respect of a vaping product, means that a vaping excise stamp and all prescribed information in respect of the vaping product are stamped, impressed, printed, or marked on, indented into, or affixed to the vaping product or its container in the prescribed manner to indicate that vaping duty and any additional vaping duty have been paid.
Vaping duty means a duty imposed under section 158.57.
Vaping excise stamp means a stamp that is issued by the CRA under subsection 158.36(1) and that has not been cancelled under section 158.4.
Vaping product means one of the following:
- a vaping substance that is not contained within a vaping device
- a vaping device that contains a vaping substance
It does not include a cannabis product or a tobacco product.
Vaping substance means a substance or mixture of substances, whether or not it contains nicotine, that is produced to be used, or sold for use, with a vaping device to produce emissions in the form of an aerosol.
Coordinated vaping duty system
The coordinated vaping duty system provides for the payment, collection, and remittance of additional vaping duty and any refunds in respect of the additional vaping duty.
The system results in an increase in the total duty collected on vaping products as an additional vaping duty is imposed on vaping products entering the duty-paid market in specified vaping provinces.
To show that the additional vaping duty for a specified vaping province has been paid, a vaping excise stamp for the specified vaping province must be affixed in the prescribed manner to vaping products entering the duty-paid market of the specified vaping province.
For provinces that have not joined the coordinated vaping duty system, a peach-coloured Canada vaping excise stamp must be affixed to vaping products in those provinces.
Additional specified vaping province
In addition to the previously announced specified vaping provinces (Alberta, Manitoba, New Brunswick, Northwest Territories, Nunavut, Ontario, Prince Edward Island, Quebec, and Yukon), Nova Scotia has entered into a coordinated vaping product taxation agreement with the federal government and is therefore a specified vaping province under the Regulations.
Imposition and payment of additional vaping duty on vaping products
Effective April 1, 2026, an additional vaping duty is imposed under section 158.58 on vaping products manufactured in Canada or imported if the products are for consumption, use, or sale to consumers in the province of Nova Scotia. The rate of additional vaping duty is determined under Schedule 8 to the Act. For more information on excise duty rates, go to Excise duty rates.
The additional vaping duty is in addition to the vaping duty imposed under section 158.57.
The additional vaping duty on products stamped in Canada is payable to the CRA at the time of stamping.
The additional vaping duty on imported stamped products is payable to the Canada Border Services Agency (CBSA) at the time of importation.
For additional information on the coordinated vaping duty system as well as how to calculate and pay the vaping duty and additional vaping duty, refer to Notice EDN95, Coordinated vaping duty system.
Transitional rules – Additional specified vaping province
To facilitate the addition of Nova Scotia to the coordinated vaping duty system, the Regulations include transitional provisions from April 1, 2026, until June 30, 2026.
These transitional provisions apply to qualifying vaping products that have entered or will be entering the duty-paid market of Nova Scotia before April 2026.
Based on the definition, a qualifying vaping product includes a vaping product that is stamped with a peach-coloured Canada vaping excise stamp and that was either:
- manufactured in Canada or imported for stamping in Canada and stamped before April 2026
- stamped prior to importation and imported or released into Canada before April 2026
During the transitional period, the possession, purchase, disposition, and sale or offer for sale of qualifying vaping products will continue to be permitted in the duty-paid market of Nova Scotia.
Effective July 1, 2026, all vaping products to be sold in the duty-paid market of Nova Scotia must be stamped with a vaping excise stamp for that specified vaping province.
Example
Vaping products were manufactured and stamped in Canada on December 17, 2025, and are intended for sale in Nova Scotia. Only vaping duty is applicable and must be paid at the time of stamping. These products can be sold in Nova Scotia with a peach-coloured Canada vaping excise stamp until June 30, 2026.
As of July 1, 2026, a retailer located in Nova Scotia can only sell vaping products that are stamped with a Nova Scotia specific vaping excise stamp. Any remaining Canada stamped products may be sold to consumers in a non-specified vaping province.
Example
Vaping products stamped outside of Canada with a peach-coloured Canada stamp are imported on April 1, 2026. As the importation occurs on or after April 1, 2026, these products are not allowed to be sold in Nova Scotia. Only vaping duty is applicable and must be paid at the time of importation.
To be sold in Nova Scotia or any other specified vaping province, these products would have to have been stamped with the province-specific vaping excise stamp of the province they were to be sold in.
Example
Vaping products were imported by a vaping product licensee for stamping in Canada on March 15, 2026. The products are to be stamped and then delivered to retailers to be sold in Nova Scotia. The licensee stamps the products on April 10, 2026.
As the products are to be sold in a specified vaping province and they are stamped on or after April 1, 2026, they must be stamped with a Nova Scotia specific vaping excise stamp. Both vaping duty and additional vaping duty apply to the products.
Stamping with a Nova Scotia specific vaping excise stamp prior to April 1, 2026
If a vaping product licensee or vaping prescribed person chooses to stamp products prior to April 1, 2026, with a Nova Scotia specific vaping excise stamp, the additional vaping duty is imposed and payable on those products.
For vaping products that are stamped in Canada, vaping product licensees must report the vaping duty and additional vaping duty as well as their stamp usage on the return for the reporting period during which the products were stamped.
For vaping products that are stamped outside of Canada, vaping product licensees and vaping prescribed persons must pay vaping duty and additional vaping duty to the CBSA at the time of importation and must report their stamp usage on the return for the reporting period when the products were imported.
For information about filing returns and remitting vaping duty and additional vaping duty, refer to Notice EDN78, General information – Vaping products.
Further information
For all technical publications related to excise duties, go to Excise duties technical information.
To request an excise duty licence for vaping products, contact your regional excise office. The offices are listed at Contact information – Excise and Specialty Tax Directorate.
For all enquiries on the application of excise duty to vaping products, go to Excise duty on vaping products or call 1‑866‑330‑3304.
For all enquiries on the stamp order process, write to the Excise Stamp Order Desk at the address listed in Contact information – Excise and Specialty Tax Directorate, call 1-866-330-3304, or send an email to Excise.Stamp@cra-arc.gc.ca.
For information on how to request a ruling or interpretation related to excise duties, go to Requesting an excise and specialty tax ruling or interpretation.