Laws, Taxes, Compliance, Etc.
Quick Guide For Laws/Taxes/Compliance
Disclaimer: This information is for informational purposes only and does not constitute legal advice. Consult your attorney before relying on any legal or tax details provided.
Quick Guide For Laws/Taxes/Compliance
Q: Are Vape Vending Machines Legal?
A: Nic-2-Go vending machines are legal in many areas but are subject to strict Federal, State, and Local regulations to ensure compliance, particularly regarding age verification and product accessibility. Below is an overview of the legal landscape surrounding vape vending machines in the United States and the sale of nicotine-containing products in unattended smart kiosks.
Federal Regulations for Vape Vending Machines
At the federal level, vape vending machines are regulated under the Family Smoking Prevention and Tobacco Control Act and related FDA guidelines. These regulations classify e-cigarettes and vape products as tobacco products, subject to rules designed to prevent underage sales. Specifically:
- Federal law prohibits the sale of tobacco and vape products to individuals under the age of 21.
- The Family Smoking Prevention and Tobacco Control Act, enforced by the FDA, mandates that tobacco products, including e-cigarettes and nicotine items, cannot be sold in vending machines located in establishments accessible to individuals under 21.
In practice, this means vape vending machines can only be placed in adult-only venues restricted to customers aged 21 and over. Retailers are required to verify the age of customers under 30 by checking valid identification.
Additionally, state and local governments may impose stricter requirements than federal regulations, so retailers must comply with all applicable laws to meet legal standards.
State-by-State Vape Machine Laws and Licensing Requirements
Stay updated with comprehensive legal information on e-cigarette vending regulations for 2024. This guide offers an in-depth look at state-specific rules, including:
- Sales and display restrictions.
- Excise taxes on nicotine products.
- Employee supervision requirements.
- Licensing and permit obligations.
Ensure compliance and stay informed with our go-to resource for vape vending machine laws across all 50 states. By adhering to these guidelines, Nic-2-Go operators can confidently navigate the regulatory environment while maximizing their business potential.
|
State |
Important Restrictions |
Limitations on Displays and Employee Requirements |
Do You Need a Permit to Sell E-Cigarettes? |
|
An employee over 21 years old must be present for anyone under 21 to sell to customers ( Section 28-11-13(a) ) |
No |
|
|
Alaska |
|
Shop premises must be restricted to 19+ ( Section 11-76-106 ) or e-cig sales must be supervised in a bar, vending machine, or club ( Section 11-76-109(d) ) |
Yes – Section 43.70.075(a) |
|
None |
No |
|
|
Arkansas |
|
An employee must supervise all sales unless the customer is using a self-service machine in a 21+ business ( Section 5-27-227(g-h) ) |
Yes – Section 26-57-214 through 215(b) |
| California |
|
No self-service machine sales allowed ( Section 22962(b)(1)(A) ) with a few exceptions. All displays must be 15 feet inside a bar entrance ( Section 22960(b)(1) ). |
Yes – Sections 22972 and 22975(a) |
|
Colorado |
|
No vending machine sales allowed ( Section 44-7-103(2) ) |
No |
|
Connecticut |
|
Self-service machines only allowed in adult-only facilities ( Section 21a-416(b) ) |
Yes – Section 21a-415(a) |
|
Delaware |
|
Self-service and vending machines only allowed in 18+ businesses ( Section 11-1119 ) |
Yes – Section 30-5301(15) |
|
District of Columbia |
|
Self-service machines allowed only in specialty tobacco stores ( Section 7-1721.04(a-b) ) and vending machine sales only allowed in 21+ businesses with liquor licenses ( Section 7-1721.04(b)(1) ) |
Yes – Section 47-2404(a) |
| Florida |
|
Self-service devices allowed only in 18+ businesses unless vending machines have a lock controlled by the store ( Section 877.112(11-12) ) |
No |
|
Vending machines allowed in locations not accessible by anyone under 18 years old. Exception for machines under employee supervision or at highway rest areas ( Section 16-12-173(e)(1) ). |
No |
|
|
Hawaii |
|
Face-to-face sales required. No vending machine or self-service devices allowed except for duty-free shops or adult-only tobacco businesses ( Section 328J-18 ). |
Yes – Section 28-164 |
|
Idaho |
|
Employees under 18 are only allowed to stock shelves and carry a customer’s purchase to their vehicle ( Section 39-5703(1-2, 5) ). Vending machines only allowed in 18+ businesses ( Section 39-5706 ). |
No |
|
Self-service machines allowed in adult-only businesses ( Section 720-677/10 ) |
No |
|
|
Self-service and vending machines allowed in 18+ businesses only ( Section 35-46-1-11.8 and 35-46-1-11.5(c) ) |
No |
|
|
Iowa |
|
Self-service or vending machines only allowed in 18+ businesses ( Sections 453A.36A(1 ) and 453A.36(6) ) |
Yes – Sections 453A.47A(1) , 453A.13(1) and 453A.36(7)(a) |
|
Kansas |
|
Self-service machines must be in 18+ businesses or have a lock-out device ( Section 79-3321(t) and(u) ) |
Yes – Section 79-3303(a) |
|
Any vending machines must be in 18+ businesses or within the employee’s line of sight ( Section 438.315(3) ) |
No |
|
|
Louisiana |
|
Self-service machines only allowed in tobacco shops or age-restricted areas ( Sections 26:910 and 26:910.1 ) |
Yes – Section 26:902(1) |
|
Maine |
|
Must be 17 years old to sell products as an employee. If under age 21 there must be a supervisor who is 21 years old ( Section 22-1555-B(1) ). Self-service displays must be bulk packages of 10 or more products in specialty tobacco shops or in 21+ locations ( Section 22-1555-B(11) ). Vending machines must be in 21+ locations only ( Section 22-1553-A(1)(C) ). |
Yes – Section 22-1151-A(1) |
|
Maryland |
|
N/A |
Yes – Sections 16.7-201 , 16.7-211(a) , and 16.7-213(a) |
|
Massachusetts |
|
Self-service and vending machines only allowed in adult-only businesses ( Section 940-21.04(2), (4) ) |
No |
|
N/A |
No |
|
| Minnesota |
|
Banned from kiosk sales ( Section 461.21 ) and self-service machines must be in adults-only, tobacco-only businesses. Vending machines banned aside from 18+ businesses ( Section 461.18 ). |
Yes - Section 461.12(1) |
|
Mississippi |
|
N/A |
No |
|
Vending machines allowed in 18+ businesses or in machines with lock-out devices or under clear supervision of an 18+ employee ( Section 407.931.2 ) |
Yes - Section 407.934.1 |
|
|
Montana |
|
Vending machines allowed in bars with line-of-sight from supervisor ( Section 16-11-306(1) ) |
Yes - Section 16-11-303(1) |
|
Nebraska |
|
Vending machines only allowed in 18+ businesses ( Section 28-1429.02 ) and self-service machines only allowed in tobacco stores or cigar bars ( Section 28-1429.03 ) |
No |
|
Nevada |
|
N/A |
No |
|
New Hampshire |
|
N/A |
No |
|
New Jersey |
|
N/A |
No |
|
New Mexico |
|
Self-service displays banned ( Section 30-49-7(A) ) and vending machines restricted to 18+ businesses ( Section 30-49-7(b) ) |
No |
|
New York |
|
Self-service displays allowed in adult-only businesses ( Section 1399-cc(7) ). Vending machines allowed in 18+ businesses or businesses with few employees under 18 with products not accessible to the public. Must be supervised by the manager ( Section 1399-dd ). |
No |
| North Carolina |
|
Vending machines must be inaccessible to anyone under 18 ( Section 14-313(b1) ) |
No |
|
North Dakota |
|
Self-service and vending machines must be inaccessible to minors or be controlled by the store at all time ( Section 12.1-31-03(1)(b) ) and 12.1-31-03.1(1-2) ) |
No |
Ohio |
|
Vending machines allowed in 18+ businesses or under the supervision of the owner ( Section 2927.02(C) ) |
No |
|
Vending machines must be in 18+ businesses and self-service displays must be in adult-only businesses ( Section 63-1-229.17-.21(A) ) |
No |
|
|
Oregon |
|
Self-service displays allowed only in 21+ businesses ( Section 167.765 ) and vending machines allowed only in 21+ businesses ( Section 167.780(2) ). All sales banned at marijuana dispensaries ( Section 333-008-1200(11) ). |
No |
| Pennsylvania |
|
N/A |
Yes - Section 72-8220-A(a) |
|
Rhode Island |
|
Vending machines must be in 21+ business or locked in supervised areas ( Section 11-9-13.1(A) ) |
Yes - Section 23-1-56(a) |
|
Vending machines sales must be locked, controlled by the shop owners, and not accessible to anyone under 18 ( Section 16-17-500(D) ) |
No |
|
|
South Dakota |
|
Self-service displays only allowed in 18+ areas of shops ( Section 34-46-2(5) ) and 34-46-21 ) |
No |
|
Minor employees must be supervised by a 21+ employee ( Section 39-17-1505(f) ) |
No |
|
Texas |
|
Vending machines or self-service displays only allowed in 18+ business areas ( Section 161.086 )
|
Yes – Section 161.456 |
|
Utah |
|
Vending machines or self-service displays must be in 19+ restricted areas ( Section 76-10-105.1(2-3) ) in tobacco specialty shops |
Yes – Sellers ( Section 59-14-803(1) ) and retailers ( Sections 26-62-201 , 17-50-333(3)(a) and 10-8-41.6(3)(a)) |
|
Vermont |
|
Employees must be 16 years old to sell tobacco substitutes ( Section 1002(f) ). Self-service displays banned except for areas restricted to 18+ adults ( Section 1003(c)(2) ). |
Yes – Section 1002(a) |
|
Vending machines must be in 21+ restricted areas of a business or shop ( Section 18.2-371.2(A) ) |
No |
|
|
Washington |
|
Self-service displays allowed in 18+ businesses only ( Section 70.345.080 ) |
Yes – Section 70.345.030(1)(a) |
|
Vending machines restricted to 18+ areas of businesses ( Section 16-9A-8 ) |
No |
|
|
All samples of products restricted to 18+ areas of businesses ( Section 134.66(2)(am) ) |
No |
|
|
Wyoming |
|
Self-service and vending machines restricted to 18+ locations ( Section 14-3-303(b) ) |
No |
In 2024, Nic-2-Go continues to lead the vaping industry, particularly in tax compliance and regulatory insight. This guide provides an in-depth look at vaping taxes across the United States, offering clarity on how various tax structures impact consumers, businesses, public health, and the industry as a whole. With taxes on vaping products steadily increasing, understanding tax laws and regulations is critical for any business looking to succeed in this space.
Understanding Vaping Taxes: Types, Rates, and State-Specific Variations
As of mid-2024, 32 states and the District of Columbia have implemented excise taxes on vaping products. Nic-2-Go simplifies the complexities of these taxes to help businesses navigate the landscape:
Ad Valorem Taxes
These taxes are applied as a percentage of the wholesale or retail price, which can significantly impact the final cost to consumers.
- Example: Minnesota imposes a 95% wholesale tax, followed closely by Vermont at 92%, making them the highest-taxed states for vaping products.
Volume-Based Taxes (Ad Quantum)
These taxes are applied per unit, typically per milliliter or cartridge.
- Example: Connecticut has the highest closed-system tax nationwide at $0.40 per mL, while states like Delaware and Kansas impose a lower rate of $0.05 per mL.
Vaping Tax Impact on Consumer Behavior and Public Health
High vaping taxes can discourage smokers from switching to vaping products, which are generally considered a less harmful alternative to traditional cigarettes.
- For instance: Research suggests that Minnesota’s 95% tax may have prevented over 32,400 smokers from transitioning to vaping, illustrating how aggressive tax policies can unintentionally impact public health outcomes.
State-by-State Vaping Tax Guide for 2024
Below is a comprehensive list of vaping tax rates across U.S. states. Staying informed about each state’s tax structures is essential for ensuring compliance and optimizing operational costs:
- Minnesota: 95% wholesale tax (highest in the U.S.).
- Connecticut: $0.40 per mL (highest volume-based tax).
- Delaware and Kansas: $0.05 per mL (lower volume-based tax examples).
By staying up-to-date with the latest tax regulations, Nic-2-Go helps businesses navigate the evolving vaping tax landscape, enabling them to remain compliant and competitive in a challenging market.
| State | Vape Tax/E-Cig Tax | Is Non-Nicotine E-liquid Taxable? |
| Alabama | No Tax | No |
| Alaska | No Tax | No |
| Arizona | No Tax | No |
| Arkansas | No Tax | No |
| California | 52.92% | No |
| Colorado | 56% | No |
| Connecticut | 10% | No |
| Delaware | 0.05/ml | No |
| District of Columbia | 79% | No |
| Florida | No Tax | No |
| Georgia | 0.05/ml | Yes |
| Hawaii | 70% | Yes |
| Idaho | No Tax | No |
| Illinoi | 15% | Yes |
| Indiana | 15% | Yes |
| Iowa | No Tax | No |
| Kansas | $0.05/ml | Yes |
| Kentucky | 15% | Yes |
| Louisiana | $0.15/ml | No |
| Maine | 43% | Yes |
| Maryland | 20% | Yes |
| Massachusetts | 75% | Yes |
| Michigan | No Tax | No |
| Minnesota | 95% | No |
| Mississippi | No Tax | No |
| Missouri | No Tax | No |
| Montana | No Tax | No |
| Nebraska | $0.05/ml | No |
| Nevada | $30 | Yes |
| New Hampshire | 8% | No |
| New Jersey | 10% | No |
| New Mexico | 12.50% | Yes |
| New York | 20% | Yes |
| North Carolina | $0.05/ml | No |
| North Dakota | No Tax | No |
| Ohio | $0.10/ml | No |
| Oklahoma | No Tax | No |
| Oregon | 65% | Yes |
| Pennsylvania | 40% | Yes |
| Rhode Island | No Tax | No |
| South Carolina | No Tax | No |
| South Dakota | No Tax | No |
| Tennessee | No Tax | No |
| Texas | No Tax | No |
| Utah | 56% | Yes |
| Vermont | 92% | Yes |
| Virginia | $0.11/ml | No |
| Washington | $0.09/ml | Yes |
| West Virginia | $0.075/ml | Yes |
| Wisconsin | $0.05/ml | Yes |
| Wyoming | 15% | No |
This diversity in tax rates highlights the differing priorities among states. While some states focus on harm reduction by adopting lower taxes on vaping products, others implement higher taxes, potentially to curb youth usage or generate substantial state revenue.
Understanding these variations is crucial for businesses and consumers to navigate local regulations effectively.
Crafting Balanced Tax Policies: Nic-2-Go’s Insights for Harm Reduction and Revenue
As a leader in the vaping industry, Nic-2-Go advocates for balanced taxation that supports public health while enabling reasonable revenue generation. Lower taxes on less harmful alternatives, particularly open systems, could better incentivize smokers to make the switch from traditional cigarettes. On the other hand, excessively high taxes risk driving consumers back to smoking or even to illicit markets, undermining public health objectives.
Conclusion: Nic-2-Go’s Role in Navigating the Vaping Tax Landscape
At Nic-2-Go, we understand the critical role informed tax policies play in fostering a responsible and sustainable vaping industry. Our dedication to compliance, consumer education, and harm reduction underpins every aspect of our work.
As states continue to refine their tax regulations, Nic-2-Go remains your trusted resource for up-to-date insights into vaping industry compliance and best practices.
Stay connected with Nic-2-Go for industry-leading guidance on vaping regulations, updates on tax rates, policy changes, and emerging trends. Together, we can navigate the challenges and opportunities shaping the future of the vaping industry.