Licensing & permitting

What fees should I expect to pay when I apply for the tobacco permit?

• Permit fees. New permit: $30; Permit renewal: $20; Reinstated permit (for permits that have been revoked, suspended, or allowed to expire): $30. (Utah Code § 26B-7-509(2)(a))


• If you are a retail tobacco specialty business you will need to pay an additional $250 for a plan review. (Utah Code § 26B-7-509(2)(c); Utah administrative rule R384-324)


• A license and permit are required for each separate place of business. (Utah Code § 59-14-201, § 59-14-301, § 59-14-803, § 26B-7-507(3))

I just purchased a retail location and would like to sell cigarettes, electronic cigarettes, nicotine pouches, etc. The previous owners had a tobacco license and permit. Does the tobacco license and permit transfer to my ownership or do I need to reapply for them?

• Tobacco license and permit are non transferable.


• Retailers are required to notify the Utah State Tax Commission within 30 days in the event that the business location changes (Utah Code § 59-14-202(2)(b))


• Retailers are required to notify their local health department where their retail establishment is located within 15 days if information on their permit application changes. (Utah Code § 26B-7-510; Utah administrative rule R384-324-3(7))

If I have questions about my Utah Tax Commission License who do I contact?

• Please contact the Utah State Tax Commission at:


• Website: https://tax.utah.gov/tobacco


• Phone: 801-297-2200 – General questions and taxpayer services; or


• 801-297-7705 – Technical Research Unit

I own a store and am thinking about selling industrial hemp/CBD products. Who can I contact to find more about products that I can sell?

• Please contact the Utah Department of Agriculture and Foods – Utah Industrial Hemp Program at:
  
  • Website: https://ag.utah.gov/industrialhempprogram/
  
  
  • Phone: 801-982-2375
  
  
  • Click here for a flyer that has more information.

The local health department shall impose a civil penalty on tobacco retailers if:

• An underage sale occurs at a retail establishment of a tobacco product, an electronic cigarette product, or a nicotine product


• A retail establishment is in violation of the terms of a tobacco, electronic cigarette, and nicotine product retail permit.

Refer to Utah Code § 26B-7-514, § 26B-7-517, § 26B-7-518, and § 76-10-114.

Civil monetary penalties can be reduced if the tobacco retailer has proof of a documented employee training program and evidence that employees have completed the training program within 30 days after the day on which each employee commences the duties of selling a tobacco product, an electronic cigarette product, or a nicotine product. (Utah Code § 26B-7-519). The Utah Tobacco Retailer Guide and training is an approved employee training program.

A retailer will be required to get a retail tobacco specialty business permit if any of these factors are true:

• The sales of tobacco products, electronic cigarette products, and nicotine products account for more than 35% of the total quarterly gross receipts for the establishment;


• 20% or more of the public retail floor space is allocated to the offer, display, or storage of tobacco products, electronic cigarette products, or nicotine products;


• 20% or more of the total shelf space is allocated to the offer, display, or storage of tobacco products, electronic cigarette products, or nicotine products;


• the commercial establishment:


• holds itself out as a retail tobacco specialty business; and


• causes a reasonable person to believe the commercial establishment is a retail tobacco specialty business;


• the retail space features a self-service display for tobacco products, electronic cigarette products, or nicotine products (Utah Code § 10-8.41.6, § 17-50-333).

Permit fee. New Permit: $30; Permit renewal (General Retailer: every other year; Retail Tobacco Specialty Business: yearly): $20; Reinstated permit: $30 (for permits that have been revoked, suspended, or allowed to expire).

Plan review fee: Plan review fee: $250. (Utah Administrative Rule R384-324-3)

• All retail tobacco specialty businesses must pay the one-time plan review fee.


• The $250 plan review fee can be charged by the local health departments every time there is a change in ownership of a retail tobacco specialty business, therefore requiring a new permit application.


• For more details contact the local health department.

Retail tobacco specialty businesses are subject to the following additional requirements:

1. Proximity – To be permitted as a retail tobacco specialty business, the business may not be located within:


• 1,000 feet of a community location*; or 1,000 feet of a public or private K-12 school; or


• 600 feet of another retail tobacco specialty business; or


• 600 feet of property used or zoned for agricultural or residential use.


*Community location includes any: public or private K-12 school, licensed child-care or preschool, trade or technical school, church, public library, public playground, public park, youth center or other place used primarily for youth-oriented activities, public recreational facility, public arcade, or homeless shelter (Utah Code § 10-8.41.6(1)(a), § 17-50-333(1)(a)).

*Beginning July 1, 2022, a retail tobacco specialty business that has a business license and is operating in a city or county may not be located within 1,000 feet of a public or private kindergarten, elementary, middle, junior high, or high school, even if the business had “grandfather status” prior (Utah Code § 10-8.41.6(7), § 17-50-333(7)). Contact the local health department for questions.


2. Pay a one-time $250.00 plan review fee.


3. Prominently display a sign on the public entrance of the retail tobacco specialty business that communicates individuals younger than 21 may not enter or be present at the tobacco specialty businesses (e.g., must be 21 or older to enter) and that the sale of tobacco products and electronic cigarette products to individuals younger than 21 is prohibited (Utah Code § 26B-7-511, § 76-10-105.1(4)).


4. Verification of Proof of Age. All retail tobacco specialty businesses are required to electronically verify the I.D. of all individuals that enter the premises and purchases tobacco products, electronic cigarette products, and nicotine products. (Utah Code § 26B-7-511(1), § 26B-7-521).


5. May not employ an individual under 21 years old; or permit an employee under 21 years old to sell a tobacco product, an electronic cigarette product, or a nicotine product (Utah Code § 26B-7-511(2)).

The following include more information about what is required for retail tobacco specialty businesses:

• Utah Code § 10-8-41.6 Regulation of retail tobacco specialty business.


• Utah Code § 17-50-333 Regulation of retail tobacco specialty business.


• Utah Code § 26B-7 Part 5 Tobacco, Electronic Cigarette, and Nicotine Product Retail Permit.


• Utah Administrative Rule R384-324 – Tobacco Retailer Permit.

As of July 1, 2024, a retailer may obtain an electronic cigarette or nicotine product only from a licensed distributor. (Utah Code § 59-14-803.5)

Click here for a list of approved distributors and the electronic cigarette registry. (Look under Tools>Electronic Cigarette Tools)

As of July 1, 2020, an excise tax has been enacted on electronic cigarette substances and prefilled electronic cigarettes. If a tobacco retailer sells these products, the business may also need to comply with new bonding requirements (Utah Code § 59-14-803, § 59-14-804).

Please contact the Utah State Tax Commission for taxation and bonding questions:

• Cigarette & Tobacco Taxes


• Electronic cigarettes


• General Questions and Taxpayer Services: (801) 297-2200


• Technical Research Unit: (801) 297-7705


• Publication 65: Tax Information for Cigarettes, Tobacco Products, Nicotine Products and Electronic Cigarette Products


• Tax Bulletin 16-24: Re: Electronic Cigarette Amendments

Tobacco licensing and taxation laws: Utah Code § 59-14.

Per Utah Code § 26B-7-506, a local health department may inspect a tobacco retailer to determine whether the tobacco retailer:

1. continues to meet the qualifications for the tobacco permit issued under Utah Code § 26B-7 Part 5 Regulation of Smoking, Tobacco Products, and Nicotine Products;


2. continues to meet the requirements for a retail tobacco specialty business license issued under Utah Code § 10-8-41.6 Regulation of retail tobacco specialty business or Utah Code § 17-50-333 Regulation of retail tobacco specialty business;


3. engaged in a pattern of unlawful activity under Title 76, Chapter 10, Part 16, Pattern of Unlawful Activity Act;


4. violated any of the regulations restricting the sale and distribution of cigarettes and smokeless tobacco issued by the United States Food and Drug Administration under 21 C.F.R. Part 1140; or


5. has violated any other provision of state law or local ordinance.

Local health department staff conduct routine inspections at tobacco retail establishments.

Additional inspections that may be conducted by the local health department staff include:

• Follow-up inspections for previous warnings or violations


• Inspections due to complaints received from the public about potential violations

If the local health department staff member identifies a violation during an inspection, they may provide a warning or violation to the retailer, and it is the responsibility of the retailer to fix the issue.

If you have questions, please contact your local health department.