Several federal legislators joined together to introduce the Tobacco Tax Equity Act of 2021 in the US Senate and the House of Representatives, Convenience Store reported.

In addition to closing loopholes in the tax code, the bill would impose the first federal electronic cigarette tax and increase the tobacco tax rate for the first time in a decade.
According to the report, the Tobacco Tax Equity Act of 2021 would close tax code loopholes for tobacco products by increasing the federal tax rate on cigarettes, pegging it to inflation and setting the federal tax rate for all other tobacco products at this same level. The bill would also follow the lead of 21 states and Washington, D.C., which already tax e-cigarette and vapour products.