By KEVIN GARTHWAY NHL.com — With the NHL’s first-ever e-cigarette tax being approved by the league’s board of governors, the league is moving to charge the tobacco industry a higher tobacco tax on all cigarette products.
The proposed cigarette tax was approved on Monday by the NHLPA, the union that represents players and executives.
It’s the second time in two years the union approved the levy on e-cigarettes.
The NHLPA’s vote came after the NHLF released its first-quarter fiscal report last month, which showed the league has added $3.2 million in revenue from its e-cig industry, with the tax revenue contributing $1.5 million in net income to the league.
“The NFLPA will continue to press the league to adopt the new tax that is expected to add approximately $4.6 million to our annual operating budget and create more than 20,000 jobs across the league,” the union’s executive director, Dan Fouts, said in a statement.
“The new tax will also allow the league and its players to focus on playing, winning and building a competitive, fan-friendly and environmentally responsible brand.”
As part of the new cigarette tax, the NHL is expected make a variety of changes to its product mix.
Among other things, the NFL is expected re-evaluate its tobacco-free policy.
This will require teams to post warning signs about tobacco in the locker rooms and on stadium seating areas, as well as to stop using tobacco products in the home.
The league also said it is expected remove its current sponsorship deals with cigarette manufacturers, and it will also begin advertising cigarette products at games.
