New Jersey tobacco and vapor compliance

Tobacco and Nicotine Products Certificate of Authority (registration)

Who needs it

Distributor or wholesaler, Importer, US manufacturer, Manufacturer outside the US

Agency

NJ Division of Taxation

Fee

No fee

Bond

Director may require a surety bond, certificate of deposit, letter of credit, or cash deposit; amount based on estimated monthly sales of tobacco products, moist snuff, and liquid nicotine (formula not published on the form)

Term

Continuing; not stated to expire. Surrender when business stops at the named location.

Renewal

None stated

Required of distributors and wholesalers. A distributor is anyone selling tobacco products in NJ who brings them in from outside the state, manufactures them in NJ, ships them to NJ persons for retail sale, or receives them without proof tax was paid. Out-of-state sellers who ship to NJ retailers fit the distributor definition. The Division's 2018 notice says a separate certificate is required for each place of business and that any business selling tobacco or nicotine products (other than cigarettes) not already registered must obtain one; the registration form itself addresses distributors and wholesalers. Apply with Form TPT-R by mail to PO Box 187, Trenton, NJ 08695-0187.

N.J.S.A. 54:40B-2, 54:40B-6, 54:40B-9; Form TPT-R; TPT-R notice (P.L. 2018, c.50) Source

Vapor Business License

Who needs it

Retailer

Agency

NJ Division of Taxation

Fee

$50 per location, nonrefundable

Bond

None stated

Term

April 1 to March 31

Renewal

Annual; renew by March 1

Container e-liquid (refill bottles) may be sold at retail only by a licensed vapor business: a retail business with more than 50% of retail sales from electronic smoking devices, accessories, and liquid nicotine. A business that does not sell container e-liquid is not a vapor business. Separate license for each place of business, including temporary locations. Report address changes within 30 days. Not transferable. Apply with Form VB-R.

N.J.S.A. 54:40B-2, 54:40B-3.3 (P.L. 2019, c.147, sec. 4); Form VB-R Source

Cigarette retail dealer / vending machine license (only if selling cigarettes)

Who needs it

Retailer

Agency

NJ Division of Revenue and Enterprise Services / Division of Taxation

Fee

$50 per location (vending machines each count as a location)

Bond

None stated

Term

April 1 to March 31

Renewal

Annual; licenses lapse March 31

Cigarettes are out of scope, but many tobacco shops also sell cigarettes and need this license. It is the license the Division may suspend or revoke after age 21 violations under N.J.S.A. 2A:170-51.4(d). No separate state retail license for cigars or other tobacco products was found.

N.J.S.A. 54:40A-4; DORES cigarette licensing application Source

Tobacco products wholesale sales and use tax

Rate

30% of wholesale price

Base

Wholesale price: the actual price at which the manufacturer sells to the distributor. Use tax on a distributor's own retail sales is based on the sales price of a similar product to a distributor.

Who pays

Distributor or wholesaler on sale, use, or distribution in NJ (personally liable). If not paid, the retail dealer or consumer owes compensating use tax directly to the Division.

Effective

30% in effect; definition expanded to include liquid nicotine and products made or derived from nicotine September 29, 2018 (P.L. 2018, c.50, effective 90 days after July 1, 2018 approval)

No cap or exemption for premium cigars. 'Tobacco products' covers products containing, made, or derived from tobacco or nicotine for consumption, including cigars, little cigars, cigarillos, chewing and pipe tobacco, smoking tobacco, dry and moist snuff, and substitutes; cigarettes are excluded. Nicotine pouches appear to fall within this definition as nicotine-derived products, but no Division page or form names pouches expressly (see open questions). Sellers pass the tax to customers and give an invoice showing tax paid.

N.J.S.A. 54:40B-2, 54:40B-3, 54:40B-5; P.L. 2018, c.50 Source

Moist snuff tax

Rate

$0.75 per ounce of net weight as listed by the manufacturer, prorated for fractions of an ounce

Base

Net weight

Who pays

Distributor or wholesaler; retail dealer or consumer owes use tax if not paid

Effective

In effect

Moist snuff means finely cut, ground, or powdered smokeless tobacco placed in the mouth; dry snuff is not moist snuff and is taxed at 30% of wholesale.

N.J.S.A. 54:40B-2, 54:40B-3 Source

Liquid nicotine tax

Rate

$0.30 per fluid milliliter as listed by the manufacturer, prorated for fractions

Base

Volume of liquid nicotine

Who pays

Distributor or wholesaler on sales to retail dealers or consumers; use tax on retail dealer or consumer if not paid

Effective

August 1, 2025 (was $0.10 per ml from September 29, 2018)

Container e-liquid is exempt from this per-ml tax and is taxed instead at retail (next item). Liquid nicotine means any solution containing nicotine designed or sold for use with an electronic smoking device, so this applies to prefilled pods and cartridges.

N.J.S.A. 54:40B-3.2 as amended by P.L. 2025, c.68 Source

Container e-liquid tax

Rate

30% of the listed retail sale price

Base

Listed retail sale price of containers of liquid (with or without nicotine) intended to fill or refill an electronic smoking device; prefilled cartridges excluded

Who pays

The retail seller collects from the purchaser and is personally liable

Effective

August 1, 2025 (was 10% from November 1, 2019)

Only licensed vapor businesses may sell container e-liquid at retail. Reported on Form VB-100.

N.J.S.A. 54:40B-3.4 as amended by P.L. 2025, c.68 Source

2025 floor stocks tax on liquid nicotine

Rate

$0.20 per fluid milliliter (the rate increase) on inventory held at 12:01 a.m. August 1, 2025

Base

Liquid nicotine inventory on hand

Who pays

Licensed retail dealers, distributors, and wholesale dealers

Effective

One time; Form TPT-FL due October 1, 2025

Past event; relevant to audits of 2025 periods.

P.L. 2025, c.68; Form TPT-FL Source

Tobacco Products Tax Return

Form

TPT-10 with Schedules A, B, C, C-2, D, E, F, G, I and RYO schedules (RYO-I-PM, RYO-I-NPM, RYO-NJ-PM, RYO-NJ-NPM)

How often

Monthly

Due

20th day of the following month; next business day if weekend or holiday

Where

https://www1.state.nj.us/TYTR_BusinessFilings/jsp/common/Login.jsp?taxcode=48

Filed by registered distributors and wholesalers. Reports purchases, sales, non-taxable sales, exports, use, distribution, exempt transfers, and imports. Separate lines for tobacco products (30%), liquid nicotine ($0.30/ml), moist snuff ($0.75/oz), and RYO (30%). Use the August 2025 and later version of the form for current periods. Tax is paid with the return. Retail dealers or consumers who owe use tax because the supplier did not pay also file within 20 days.

N.J.S.A. 54:40B-5, 54:40B-8, 54:40B-9; Form TPT-10 Source

Vapor Business Tax Return

Form

VB-100 (online)

How often

Monthly

Due

20th day of the following month

Zero returns

Yes, file even with no activity

Where

https://www1.state.nj.us/TYTR_BusinessFilings/jsp/common/Login.jsp?taxcode=48

Reports gross receipts from container e-liquid and the 30% tax. Must be filed even when there is no activity. A vapor business that also holds a Tobacco Products Certificate files TPT-10 as well.

N.J.S.A. 54:40B-3.4; Vapor Business Tax licensing notice Source

Tobacco Products Tax Floor Stocks Return (2025 increase)

Form

TPT-FL

How often

Once

Due

October 1, 2025 (past)

Where

Mail to NJ Division of Revenue and Enterprise Services, PO Box 250, Trenton, NJ 08646-0250

Inventory of liquid nicotine at 12:01 a.m. August 1, 2025; $0.20 per ml additional tax.

P.L. 2025, c.68 Source

Attorney General Tobacco Manufacturers Directory (cigarettes and roll-your-own)

Who files

Manufacturer outside the US, US manufacturer, Importer, Distributor or wholesaler

Fee

None found

Deadline

Annual certification date not confirmed (see open questions)

Manufacturers of roll-your-own tobacco must certify to the Attorney General to be listed as a participating or non-participating manufacturer; non-participating manufacturers must fund escrow. Selling or possessing for sale unlisted brands is unlawful. Distributors report RYO purchases by PM and NPM brand on the TPT-10 RYO schedules.

N.J.S.A. 52:4D-1 et seq., 52:4D-4 et seq. Source

Flavored vapor ban

Effective

April 20, 2020 (90 days after January 21, 2020 approval)

No retailer may sell, offer, or distribute for commercial purpose any vapor product with a characterizing flavor other than tobacco, including fruit, candy, mint, menthol, and wintergreen. Civil penalties of at least $500, $1,000, and $2,000 for first, second, and third and later violations; on a third violation the Division of Taxation must suspend the vapor business license for at least 3 years, and on a fourth it may revoke it.

P.L. 2019, c.425; N.J.S.A. 2A:170-51.12 Source

Age 21

Effective

November 1, 2017 (P.L. 2017, c.118, approved July 21, 2017)

No sale, giveaway, or promotional distribution of tobacco products or electronic smoking devices to anyone under 21. Civil penalties of at least $250 for a first violation, $500 for a second, and $1,000 for each later violation; after a municipal hearing and recommendation, the Division of Taxation may suspend or revoke the retailer's license. Defense requires that the buyer showed valid government photo ID, appeared to be of age, and the sale was made in good faith.

N.J.S.A. 2A:170-51.4; 2C:33-13.1; P.L. 2017, c.118 Source

Container e-liquid only through vapor businesses

Effective

November 1, 2019

Refill bottles of e-liquid may be sold at retail only by a licensed vapor business (more than 50% of retail sales from vapor devices, accessories, and liquid nicotine). Convenience stores may sell prefilled pods but not refill bottles.

N.J.S.A. 54:40B-3.3 (P.L. 2019, c.147) Source

Shipping rule

No New Jersey statute found that licenses or bans delivery sales of cigars, pipe tobacco, smokeless, vapor, or pouches to consumers. Age 21 applies to any sale. An out-of-state seller shipping untaxed product into NJ can meet the distributor definition, and a consumer who receives product without NJ tax owes compensating use tax. Federal PACT Act rules (not NJ law) apply to cigarettes, smokeless, and vapor.

N.J.S.A. 54:40B-2, 54:40B-5 Source

Shipping rule

Pending bill A1813 (2024-2025 session) would have required the deliverer of tobacco products and electronic smoking devices to a residence to get the signature of a resident age 21 or older. Not enacted as of this review.

A1813 (2024-2025) Source

Local rule

Municipal courts and local health agencies enforce the state age 21 and flavored vapor bans and collect penalties. No local tobacco excise taxes were found. Some municipalities may also require their own retail licenses; check the local code for each store location.

N.J.S.A. 2A:170-51.4; P.L. 2017, c.118; P.L. 2019, c.425 Source

Records

Suppliers include the tax in the sale and give the retailer or consumer an invoice, receipt, or memorandum stating the tax has been paid; enforcement relies on examining purchase and sales invoices. Retailers should keep these to avoid owing use tax.

Division of Taxation OCI Guide (rev. 6/2022) Source

Records

The Division generally has 4 years from filing to assess; there is no limit if no return or a fraudulent return is filed.

Publication ANJ-1 Source

Penalty

Late filing: up to $100 per month or part of a month the return is late, plus a late filing penalty of 5% per month of tax due up to 25%. Interest at prime plus 3%, compounded annually. An 11% cost recovery fee is added if referred to collections.

Publication ANJ-1 (State Uniform Tax Procedure Law, N.J.S.A. 54:49) Source

Penalty

Evasion of the Tobacco and Vapor Products Tax Act carries criminal penalties similar to the Cigarette Tax Act; vehicles and currency connected to illegal possession or transport may be seized and forfeited, and untaxed container e-liquid and tobacco products may be seized.

OCI Guide; Vapor Business notice Source

Penalty

Security posted under the bond requirement may be applied by the Director to unpaid tax, interest, or penalties without notice.

N.J.S.A. 54:40B-9 Source

Penalty

Vapor business license may be suspended or revoked for violations; while suspended the licensee may not sell container e-liquid in any manner.

N.J.S.A. 54:40B-3.3 (P.L. 2019, c.147, sec. 4) Source

August 1, 2025

Liquid nicotine tax tripled from $0.10 to $0.30 per ml; container e-liquid tax raised from 10% to 30% of listed retail price; floor tax of $0.20 per ml on liquid nicotine inventory (Form TPT-FL due October 1, 2025). New TPT-10 form version for August 2025 and later periods.

P.L. 2025, c.68 (A5805) Source

Pending

Pending: S4012 (introduced March 19, 2026) would raise the tobacco products rate from 30% to 50% of wholesale, raise moist snuff from $0.75 to $1.50 per ounce, name oral nicotine pouches expressly as tobacco products, and impose a floor tax. Rates would apply from the first day of the second month after enactment. Not enacted as of this review.

S4012 (222nd Legislature) Source

NJ Division of Taxation (Department of the Treasury), Excise Tax Group

Handles

Administers the Tobacco and Vapor Products Tax (N.J.S.A. 54:40B), issues Tobacco and Nicotine Products Certificates of Authority and Vapor Business Licenses, receives TPT-10 and VB-100 returns, audits and enforces. Phone 609-633-9000; email Tobacco.tax@treas.nj.gov (per 2018 notice).

Online

https://www1.state.nj.us/TYTR_BusinessFilings/jsp/common/Login.jsp?taxcode=48

Source

NJ Division of Revenue and Enterprise Services (DORES)

Handles

Runs the online cigarette licensing application (retailer, vending machine, manufacturer's representative licenses) and receives floor tax returns by mail.

Online

https://www.njportal.com/dor/cm100

Source

NJ Division of Taxation, Office of Criminal Investigation

Handles

Criminal enforcement of the Cigarette Tax Act and the Tobacco and Vapor Products Tax Act, including seizures.

Source

NJ Office of the Attorney General

Handles

Maintains the Tobacco Manufacturers Directory of compliant cigarette and roll-your-own manufacturers and brands (participating and non-participating) and enforces MSA escrow laws.

Source

Municipal courts and local health agencies

Handles

Enforce the age 21 and flavored vapor sales bans through civil penalties; after a municipal hearing, may recommend license suspension or revocation to the Division of Taxation.

Source