Vape Vending Machines Sales Laws and Regulations in California

Thinking of Launching a Vape Vending Machine in California?
Here’s What You Need to Know First

Considering becoming a vape vending machine host in California? Familiarize yourself with the current state laws to ensure compliance and successful operations. Here's a quick breakdown of current state regulations for vapor products, vape machines, and sales.VapeTMWhether you're a retailer, entrepreneur, or operator, understanding these regulations is essential not only for compliance but also for safeguarding your investment. Below is a detailed guide that breaks down the current rules, requirements, and best practices for operating a vape vending machine in California.

1. Placement Restrictions (Vape/Nicotine Vending Machines)

Legal Statute:

Cal. Bus. & Prof. Code § 22960:

“No cigarette or tobacco product shall be sold from a vending machine unless the machine is located in an area of the premises that is barred to minors, such as a bar or private club where entry is restricted to persons 21 and older.”

Additional Requirement:

  • The vending machine must be placed at least 15 feet away from any entrance accessible to the public.
  • Self-service displays of any vape/nicotine product are banned, unless in adult-only tobacco retailers or 21+ establishments.

Prohibited Locations:

  • Gas stations
  • Convenience stores
  • Public-facing lobbies or retail settings accessible to minors

Permitted Locations:

  • Bars (21+ only)
  • 21+ private clubs
  • Vape lounges or adult tobacco stores

2. Licensing & Permitting Requirements

Required License:

California Cigarette and Tobacco Products Retailer’s License
Governing Law: Cal. Bus. & Prof. Code § 22972

Issuing Authority:
California Department of Tax and Fee Administration (CDTFA)

Conditions:

  • Required before selling or vending vape/nicotine/tobacco products.
  • One license per location (including per vending machine site).
  • Must renew annually.
  • Display license at the vending location.

Fees:

  • Retailer License: $265 (as of CDTFA rates; subject to change).
  • Wholesale Distributor License (if also distributing): Separate application and fee.

3. Applicable Taxes & Fees

Sales Tax:

Standard state sales tax (7.25% statewide base, plus local rates).

Tobacco Products Excise Tax:

Imposed under Cal. Rev. & Tax Code § 30123:

  • Applies to vape liquids containing nicotine.
  • Tax rate is equivalent to the cigarette tax, which is adjusted annually (as of 2025, approximately 56.93% of wholesale cost).

Who Remits:

  • Retailers selling tax-paid products from licensed distributors are not required to file excise taxes separately.
  • Distributors or manufacturers must pay excise tax and apply the tax stamp or report via CDTFA.

Nicotine Pouches:
If derived from tobacco, they are considered “tobacco products” and are taxable under the same structure.

4. Regulatory Authorities

Agency Role
CDTFA Licensing,
excise tax enforcement
California Department of Public Health (CDPH) Youth access and
public health regulation
California Attorney General Civil enforcement of illegal sales,
flavored bans, etc.

Additional local agencies may include:

  • City/County health departments
  • Business license divisions

5. Local Ordinances (City-Specific Restrictions)

Cities and counties may impose additional rules:

🔹 San Francisco

  • Bans all e-cigarette sales that haven’t received FDA premarket authorization (most products).
  • Requires additional tobacco permit from the SF Department of Public Health.

🔹 Los Angeles

  • Bans flavored tobacco products including vape and nicotine pouches.
  • Requires a Tobacco Retailer License from LA County Public Health.

🔹 Berkeley

  • Full ban on flavored products.
  • Additional city-level permits apply.

You must check zoning, permitting, and public health ordinances with each city or county where you intend to place a machine.

6. Other Key Legal Requirements

  • Flavored Product Ban:
    Cal. Health & Safety Code § 104559.5 bans all flavored tobacco products, including:
    • Fruit
    • Mint
    • Menthol
    • Candy/dessert
    • Concept flavors
    • Applies to both vape and nicotine pouches
  • Age Verification Requirement:
    Sale to persons under 21 is prohibited (no exception). Machines must be inaccessible to minors.
  • Signage Required:
    Signs must be clearly posted stating:

“It is illegal to sell tobacco or vape products to persons under 21 years of age.”

Disclaimer: This page is intended for informational purposes only and should not be considered legal advice. Consult official California government resources for the most current regulations.

 

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