Alabama HB529 Bill May Imposing Tax on E-cigarettes

Apr.15.2025
Alabama HB529 Bill May Imposing Tax on E-cigarettes
Alabama House Bill 529 taxing e-cigarette products at 10 cents per milliliter, funds to state, counties, towns.

Key points:

The fundraising and general fund committee of the Alabama House of Representatives passed the HB529 bill, imposing a tax of 10 cents per milliliter on e-cigarette products.

Tax revenues are allocated to state funds, counties, and municipalities, and retailers are required to apply for a $150 license.

Retailers must submit monthly reports, violators will be penalized, and untaxed products may be confiscated.


According to ALreporter on April 10th, the fundraising and general fund committee of the Alabama House of Representatives passed HB529, a bill proposed by State Representative David Faulkner, which plans to impose additional taxes on "consumptive e-cigarette products" sold within the state.

 

According to Alabama state law, e-cigarette products that can be consumed are defined as "any e-liquid solution or other material containing nicotine, which is consumed when used as an e-cigarette product." The proposed legislation would impose an additional tax on the retail sale of such products, with a tax of 10 cents per milliliter, to be paid by consumers on top of existing sales taxes. The bill stipulates that any existing local taxes on e-cigarette products will be repealed and replaced.

 

The bill specifies that 50% of tax revenue will go into the state general fund, 25% will be allocated to counties based on population, and the remaining 25% will be distributed to municipalities in Alabama based on population. Faulkner stated that at least 32 states across the US have imposed similar taxes on e-cigarette products.

 

The bill also requires retailers to submit monthly reports to the Alabama Department of Revenue, and violators will be prosecuted by the Attorney General and prohibited from continuing to operate. Untaxed e-cigarette products may be confiscated and dealt with by the Alabama Alcoholic Beverage Control Board or other law enforcement officials.

 

In addition, HB529 requires retailers to apply for a $150 license to sell consumable e-cigarette products. Faulkner stated that the penalties for failing to obtain such a license would be similar to those for unregistered tobacco sellers operating without proper licensing. The license fee will be used for enforcement and combating the illegal sale of e-cigarette products by the Alabama Alcoholic Beverage Control Board.

 

Faulkner stated that illegal e-cigarette products are widespread in Alabama, with an estimated 80% to 85% of stores selling illegal e-cigarette products. Currently, there is no funding or mechanism in place for enforcement, so this bill will authorize the Alabama Alcoholic Beverage Control Board to create new licensing fees to enable on-site enforcement.

 

The HB529 bill has now moved into the further review stage in the House of Representatives.

 

We welcome news tips, article submissions, interview requests, or comments on this piece.

Please contact us at info@2firsts.com, or reach out to Alan Zhao, CEO of 2Firsts, on LinkedIn


Notice

1.  This article is intended solely for professional research purposes related to industry, technology, and policy. Any references to brands or products are made purely for objective description and do not constitute any form of endorsement, recommendation, or promotion by 2Firsts.

2.  The use of nicotine-containing products — including, but not limited to, cigarettes, e-cigarettes, nicotine pouchand heated tobacco products — carries significant health risks. Users are responsible for complying with all applicable laws and regulations in their respective jurisdictions.

3.  This article is not intended to serve as the basis for any investment decisions or financial advice. 2Firsts assumes no direct or indirect liability for any inaccuracies or errors in the content.

4.  Access to this article is strictly prohibited for individuals below the legal age in their jurisdiction.

 

Copyright

 

This article is either an original work created by 2Firsts or a reproduction from third-party sources with proper attribution. All copyrights and usage rights belong to 2Firsts or the original content provider. Unauthorized reproduction, distribution, or any other form of unauthorized use by any individual or organization is strictly prohibited. Violators will be held legally accountable.

For copyright-related inquiries, please contact: info@2firsts.com

 

AI Assistance Disclaimer

 

This article may have been enhanced using AI tools to improve translation and editorial efficiency. However, due to technical limitations, inaccuracies may occur. Readers are encouraged to refer to the cited sources for the most accurate information.

We welcome any corrections or feedback. Please contact us at: info@2firsts.com

JTI Proposes 25-Cent Irish Cigarette Tax Increase, Says It Could Raise €45 Million
JTI Proposes 25-Cent Irish Cigarette Tax Increase, Says It Could Raise €45 Million
Japan Tobacco International's Irish business has proposed a €0.25 tax increase on a pack of 20 cigarettes in its pre-Budget 2027 submission, below the €0.50-or-more increases typically imposed in recent Irish budgets. JTI says the proposal could generate around €45 million in additional Exchequer revenue while limiting further movement toward illicit and non-Irish-tax-paid tobacco. Revenue's existing estimate for a comparable €0.25 increase, including pro-rata rises on other tobacco products, is about €18 million for a full year.
JTI
Sep.18 by 2Firsts Perspectives
IVG Parent Secures HMRC Excise Warehouse and Duty Stamp Approvals Ahead of UK Vape Tax
IVG Parent Secures HMRC Excise Warehouse and Duty Stamp Approvals Ahead of UK Vape Tax
Acme Vape Ltd, the company behind UK vaping brand IVG, has received HM Revenue & Customs approval to operate an excise warehouse for vaping products and participate in the Vaping Duty Stamps Scheme. The UK's Vaping Products Duty will take effect on October 1, 2026, at a flat rate of £2.20 per 10ml of vaping liquid. Acme Vape Ltd says its approved warehouse in Preston will become operational under the new regime on the same date.
Regulations
Sep.18 by 2Firsts Perspectives
Beyond IQOS ILUMA, PMI Expands Lower-Priced BONDS Heated Tobacco Platform: Seven Markets Added in Q3, With Rollouts in Japan, Europe and North Africa
Beyond IQOS ILUMA, PMI Expands Lower-Priced BONDS Heated Tobacco Platform: Seven Markets Added in Q3, With Rollouts in Japan, Europe and North Africa
Philip Morris International (PMI) is expanding the international footprint of BONDS by IQOS, its lower-priced heated tobacco platform. The company's third-quarter 2026 SEC filing shows that BONDS devices and BLENDS tobacco sticks were available in 15 markets at the end of September, up from eight at the end of June. In November, PMI announced plans to extend sales from three to 17 Japanese prefectures and introduced BONDS in Spain and Morocco. The platform uses ROUNDHEAT external heating technology and proprietary tobacco sticks, separate from the IQOS ILUMA system. In Japan, BONDS retails for ¥2,980, approximately 25% below ILUMA i ONE, while BLENDS costs ¥570 per pack. PMI management says BONDS targets cigarette smokers who have not adopted heated tobacco. Separate sales and revenue figures remain undisclosed.
company
Nov.06
Japan's Heated Tobacco Use Rises From 0.1% to 14.9% Over a Decade as Growth Extends Beyond Cigarette Switching
Japan's Heated Tobacco Use Rises From 0.1% to 14.9% Over a Decade as Growth Extends Beyond Cigarette Switching
A decade-long study published in The Lancet Regional Health – Western Pacific found that heated tobacco product use in Japan increased from 0.1% in 2015 to 14.9% in 2025, although growth slowed after 2018. Switching from conventional cigarettes remained an important source of HTP uptake, while the contribution from previously non-current users increased. Approximately 56% of HTP users also smoked conventional cigarettes in 2025. Separate industry data show that Japan's heated tobacco sales reached 73.4 billion units in fiscal 2025, approaching conventional cigarette sales of 78.2 billion units.
SCIENCE
Nov.10
Latest UK ONS Data: 54% of Vapers Are Former Cigarette Smokers, 26% Also Smoke and 20% Never Smoked Regularly
Latest UK ONS Data: 54% of Vapers Are Former Cigarette Smokers, 26% Also Smoke and 20% Never Smoked Regularly
Former cigarette smokers accounted for an estimated 54% of current e-cigarette users in Great Britain in 2025, while 26% also smoked cigarettes and 20% had never regularly smoked, according to a 2Firsts analysis of Office for National Statistics (ONS) data. Among former cigarette smokers who currently vape, approximately 81% used e-cigarettes daily, compared with about 50% of dual users. The ONS found that 33.8% of current cigarette smokers also vaped in 2025, up from 10.6% in 2014. Approximately 1.1 million adults who had never regularly smoked cigarettes used e-cigarettes, representing 2.9% of that population, compared with 0.2% in 2014. The figures highlight differences in the composition, frequency of use and long-term trends across Britain's vaping population.
DATA
Oct.14
South Korea Extends Vape Rules to Unmanned Stores After Bringing Synthetic Nicotine Under Tobacco Law
South Korea Extends Vape Rules to Unmanned Stores After Bringing Synthetic Nicotine Under Tobacco Law
South Korea's Ministry of Gender Equality and Family said on September 14 that it plans to designate unmanned e-cigarette stores as businesses where minors are prohibited from entering or working. Operators would be required to verify customers' ages and display notices restricting access by minors. The proposal is open for public comment through October 6. The move follows an April expansion of South Korea's statutory tobacco definition that brought products made with natural or synthetic nicotine under the Tobacco Business Act. Nicotine-free liquids and products using nicotine analogues such as 6-methylnicotine, however, remain an emerging regulatory issue.
Sep.21