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Tobacco Tax

Every consumer of tobacco purchased at a retail sale in the province shall pay to the Government, at the time of purchase, a tax at the following rates (as of June 20, 2015):

 

  • 25.00 cents per cigarette purchased

  • 71.6% per cent of the retail price of each cigar purchased

  • 21.50 cents on every gram or part thereof of tobacco purchased, other than cigarettes, cigars and tobacco sticks

  • 25.00 cents per tobacco stick

 

Tobacco Tax Collection and Remittance:

Tobacco wholesalers and retailers act as agents of the Minister in respect to the collection of the tobacco tax from the consumer. Tobacco manufacturers, wholesalers and retailers who are active in Prince Edward Island must apply to the Provincial Tax Commissioner for a license to operate in the province

Wholesale vendors must file and remit the collected tobacco tax on a monthly basis.

Manufacturers, wholesalers or retail vendors may apply for a refund of tobacco tax when the tax has been paid in error, or where excess tobacco tax has been paid.

 

Tobacco Tax Notices:

Tobacco Tax Notices are issued by the Taxation and Property Records Division of the Prince Edward Island Department of Finance, Energy and Municipal Affairs when there are changes made to tobacco tax rates, or when there is information that should be brought to the attention of tobacco manufacturers, wholesalers, retailers and/or the general public.

 

Tobacco Tax History:

The Health Tax Act came into force on April 10, 1941 and a tax rate of 10% was charged on the retail price of all tobacco products sold on Prince Edward Island. Regulations under the Act were first proclaimed on January 29, 1942. On May 1, 1957 wholesalers became collectors of tobacco tax. The complete Statutes of Prince Edward Island underwent revisions in 1951, 1974 and 1988. With these revisions the Health Tax Act underwent changes in the numbering of the various sections. On March 15, 2008, the tobacco-related legislation within the Health Tax Act was replaced by the Tobacco Tax Act. The Tobacco Tax Act and Regulations are available online as PDF documents. 



Please note:
This page is prepared for information purposes only, and should not be considered a substitute for the applicable statutes. Should there be any conflict between the contents of this page and the statutes, the statutes shall prevail.  


The forms listed below are also available in French on our Formulaires page.

Forms

Application for a Tobacco Manufacturer's Wholesale Vendor's License and/or Marking / Marking Exemption Permit

*Printable version of this form [55 KB PDF File]

Application for a Tobacco Retail Vendor's License

*Printable version of this form [61 KB PDF File]

Registered Wholesale Vendors' Tobacco Return

*Printable version of this form [59 KB PDF File]

Request for Refund of Tobacco Tax

*Printable version of this form [79 KB PDF File]

Tobacco Tax Self-declaration Form (currently available in English Only)

*
Printable version of this form [183 KB PDF File]



Contact

Charlottetown

MacPhee, Gail (Tax Administration Supervisor - Fuel and Tobacco) 

Flood, Danny (Tax Compliance Officer) 

Crane, Anne (Program Application Coordinator)  
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