Vermont Statutes Title 32 Sec. 7811
Terms Used In Vermont Statutes Title 32 Sec. 7811
- Cigar: means any roll of tobacco wrapped in leaf tobacco or in any substance containing tobacco, other than any roll of tobacco that is a cigarette within the meaning of subdivision (1) of this section or is a little cigar within the meaning of subdivision (6) of this section. See
- Dealer: means any wholesale dealer and retail dealer as herein defined. See
- New smokeless tobacco: means any tobacco product manufactured from, derived from, or containing tobacco that is not intended to be smoked, has a moisture content of less than 45 percent, or is offered in individual single-dose tablets or other discrete single-use units. See
- Other tobacco products: means any product manufactured from, derived from, or containing tobacco that is intended for human consumption by smoking, chewing, or in any other manner, including products sold as a tobacco substitute, as defined in 7 V. See
- Person: shall mean any individual, firm, fiduciary, partnership, corporation, trust, or association, however formed. See
- Snuff: means any finely cut, ground, or powdered tobacco that is not intended to be smoked, has a moisture content of not less than 45 percent, and is not offered in individual single-dose tablets or other discrete single-use units. See
- State: when applied to the different parts of the United States may apply to the District of Columbia and any territory and the Commonwealth of Puerto Rico. See
- Wholesale price: means the price at which a licensed wholesale dealer sells or furnishes cigarettes, little cigars, roll-your-own tobacco, snuff, new smokeless tobacco, or other tobacco products to any retail dealer. See
§ 7811. Imposition of tobacco products tax
(a) There is hereby imposed and shall be paid a tax on all other tobacco products, snuff, and new smokeless tobacco possessed in the State of Vermont by any person for sale on and after July 1, 1959 that were imported into the State or manufactured in the State after that date, except that no tax shall be imposed on tobacco products sold under such circumstances that this State is without power to impose such tax, or sold to the United States, or sold to or by a voluntary unincorporated organization of the U.S. Armed Forces operating a place for the sale of goods pursuant to regulations promulgated by the appropriate executive agency of the United States. The tax is intended to be imposed only once upon the wholesale sale of any other tobacco product and shall be at the rate of 92 percent of the wholesale price for all tobacco products except snuff, which shall be taxed at $2.57 per ounce or fractional part thereof; new smokeless tobacco, which shall be taxed at the greater of $2.57 per ounce or, if packaged for sale to a consumer in a package that contains less than 1.2 ounces of the new smokeless tobacco, at the rate of $3.08 per package; and cigars with a wholesale price greater than $2.17, which shall be taxed at the rate of $2.00 per cigar if the wholesale price of the cigar is greater than $2.17 and less than $10.00 and at the rate of $4.00 per cigar if the wholesale price of the cigar is $10.00 or more. Provided, however, that upon payment of the tax within 10 days, the distributor or dealer may deduct from the tax two percent of the tax due. It shall be presumed that all other tobacco products, snuff, and new smokeless tobacco within the State are subject to tax until the contrary is established and the burden of proof that any other tobacco products, snuff, and new smokeless tobacco are not taxable hereunder shall be upon the person in possession thereof. Licensed wholesalers of other tobacco products, snuff, and new smokeless tobacco shall state on the invoice whether the price includes the Vermont tobacco products tax.
(b) The tax established in this section shall not be imposed on:
(1) cannabis-related supplies sold by a dispensary registered under 7 Vt. Stat. Ann. chapter 37 to registered patients and registered caregivers, as those terms are defined in 7 V.S.A. § 972;
(2) cannabis products, as defined in 7 V.S.A. § 831, that do not contain tobacco; or
(3) hemp or hemp products, as defined in 6 V.S.A. § 562, that do not contain tobacco. (Added 1959, No. 231, § 7; amended 1995, No. 14, § 7, eff. April 12, 1995; 2005, No. 191 (Adj. Sess.), § 38; 2007, No. 81, § 6, eff. June 11, 2007; 2009, No. 1 (Sp. Sess.), § H.38; 2009, No. 160 (Adj. Sess.), § 36; 2011, No. 45, § 22; 2013, No. 14, § 19, eff. June 30, 2013; 2013, No. 174 (Adj. Sess.), § 39; 2015, No. 54, § 50; 2019, No. 28, § 2; 2023, No. 3, § 91, eff. July 1, 2023.)