Tobacco License

If you plan to start a business with a convenience store, gas station, or another type of store that will sell cigarettes or other tobacco-related products, you will be considered a tobacco retailer. As such, you will be required by your city’s business licenses, permits, and tax agency to file for a tobacco license to sell these products. Keep in mind that tobacco products include e-cigarettes, smokeless tobacco, vape pens, dab pens, hookah, cigars, tanks, mods, pro-mods, and electronic nicotine delivery systems (ENDS)Do not start selling these products without the appropriate business permit!

What you need to know about tobacco licenses:

• You are required to pay a registration fee and file an application for every retail location that sells cigarettes or tobacco products.
• Your business license is good for one year, so you will need to renew it before it expires.
• You might not need to pay a renewal fee, so check with your business license bureau for details and fee amounts.
• Retailers who sell tobacco products are not licensed by a federal authority. These businesses must follow the licensing requirements of their state and local governments.
• If you are a wholesaler of cigarettes or tobacco products, you will also need a business license for wholesalers for each location you run your wholesale business from.
• If you are a cigarette or tobacco product distributor, you need a distributor tobacco license.
• Tobacco product manufacturers, importers, and exporters need tobacco licenses. Approval from the Alcohol and Tobacco Tax and Trade Bureau (TTB) is required before engaging business.

If you fail to obtain the proper licenses:

• If you do not have a tobacco license and you sell tobacco products illegally, you may be fined.
• Should you continue to violate your city’s tobacco license laws, your business may be shut down.

Whichever type of role you play in selling tobacco, make sure you have the appropriate tobacco license so that you stay compliant with city and state regulations.