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Tennessee Toughens Law for Underage Tobacco and Vape
Published: Jun 19, 2025
A new Tennessee law means big changes for Tennessee retailers that sell tobacco and vapor products. The new law becomes effective July 1, 2025, with some parts kicking in later. If you sell cigarettes, e-cigarettes, cigars, chewing tobacco, or other nicotine or vapor products, pay particular attention to the new carding requirements and severe vape penalties.
Mandatory carding. If a customer looks under 50, you must check ID. Starting July 1, mandatory carding becomes the law. Like beer sales, if the customer appears older than 50, you are not required to card.
Existing law requires carding for customers that appear to be under 30 years of age.
In addition to sale to minor stings, expect to see citations for failure to card. Failure to card a 25, 35 or even potentially a 45-year-old undercover officer is a violation of state law effective July 1.
Photo ID. A picture ID is mandatory starting July 1. If a buyer cannot produce a photo ID, refuse the sale, unless the customer is exempt under state law from having photo identification.
We recommend a hard and fast rule. No photo ID; no tobacco or vape.
New 10% Tax on Vape. Starting July 1, Tennessee imposes a new 10% tax on the wholesale cost of all vapor products. Retailers are still required to charge sales tax. The intent is to push up the cost and slow sales; but the state also gets to line its coffers from the new tax.
Tennessee ABC. The Tennessee Alcohol Beverage Commission now has joint enforcement authority. We expect to see a significant increase in compliance checks and investigations from the ABC. The ABC gets 12.5% of the new vapor tax to fund enforcement efforts.
Compliance Checks. The new law mandates at least two unannounced compliance checks each year for vapor products. Follow-up checks are required by law within 30 days of all violations. Results of compliance checks will be published annually and made available to the public.
All fees and penalties from compliance checks must be used for future enforcement of the tobacco and vape laws. Between revenue from compliance checks and 12.5% of the new vape tax, the new law should lead to a well-funded ABC law enforcement staff.
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Everybody wants a smoking song, a smoking song
New Vapor Product Directory. The new law requires the state to set up a directory of certified vapor products, which will be implemented over the next few years. We understand that the intent is to eliminate unsafe, untested and illegal vape products from retail stores.
The new vapor product online directory will be available starting January 1, 2026. Manufacturers are required to deliver specific certifications required by the new law.
Beginning January 1, 2027, or when the Department of Agriculture makes the directory of certified products available to the public, unlisted products may not be sold in Tennessee. It is the retailer’s responsibility to check the directory. Retailers can only sell certified products that are listed on the directory.
Retailers will have 60 calendar days from the date that the department first makes the directory available to deplete and sell off all unlisted products that are in inventory. After 60 days, all unlisted products are subject to seizure and destruction, at the expense of the retailer.
Massive Fines and License Revocation. The real attention grabber is the penalties. Selling vapor products to someone under the age of 21 results in a $2,500 fine for the first offense. A second offense results in a mandatory fine of at least $20,000 and revocation of the license. There is no option in the law for a suspension or reduced penalties. There also is no dollar limit on the amount of the second fine – the law says a fine of “at least” $20,000.
There is no time limit between the first and second offense. If a retailer fails a compliance check, the retailer is subject to the $20,000 fine and revocation, for as long as the retailer is in business.
It is unclear what license would be revoked, as there currently is no vapor-specific license issued by the state. There is no retail license for tobacco. Retailers should watch out for new licensing requirements that may be introduced.
The new fines do not apply to tobacco products. The new penalties are specifically applicable to vapor products. Selling tobacco products to anyone under the age of 21 within a five-year period carries escalating civil penalties. A first violation results in only a warning letter. A second violation within five years can lead to a civil penalty of up to $500, a third violation up to $1,000, and a fourth or subsequent violation up to $1,500.
Keep in mind that the new law requires two compliance checks every year. Based on ABC experience with sale to minor stings for alcohol, a compliance rate of 80% to 90% is generally good. However, 80% means one sale to minor for every five stings. We see a lot of revocations on the horizon, and very expensive fines.
Selling an uncertified vapor product, or a product not on the directory, results in a penalty of up to $500 for an initial violation. A second violation within 12 months results in a $750 to $1,000 fine and a 30-day license suspension. For a third violation within 12 months, there is a fine of $1,000 to $1,500 and the revocation of the license.
Advertising Restrictions. If your store uses in-store posters, signs, or billboards to promote vapor products, heads up. No advertising that appeals to kids or that mimics candy, toys, or cartoons are allowed.
No billboards are allowed within 1,000 feet of schools, churches, daycares, or substance abuse facilities.
Violators will receive a 30-day notice to correct, or they will face a fine of $2,500 for a first offense and a fine of $20,000 and loss of licensure for subsequent offenses.
Bottom Line. If your business sells vapor and tobacco products in Tennessee, start preparing now. The fines are serious, and compliance checks are coming.
Special thanks to Summer Associate Hannah-Ruth Long for invaluable research and writing assistance on this post.
