E-Cigarette Vending Machine Laws and Regulations in North Carolina

It is illegal to sell vapor products to persons under the age of 18 in the State of North Carolina. 

  • C. Gen. St. Section 14-313(b).

 Note:  Effective December 2019, the United States adopted a law raising the federal minimum age of sale of all tobacco products to 21.  Some states, such as North Carolina, have not yet raised their state minimum age of sale, however, the federal law takes precedence in most instances.

 

Vapor products are included in the definition of “tobacco products” and the tobacco product laws.

 

Effective July 1, 2024, all retail dealers of vapor products must obtain a license for each of the following locations:

 

  1. Each location where a retail dealer receives or stores non-tax paid vapor products; and

 

  1. Each location from where a retail dealer that is a delivery seller or a remote seller receives or stores non-tax paid vapor products for delivery sales.

 

  • C. Gen. St. Section 105-113.39 (Effective July 1, 2024).
  • Note: Current version of statute, effective until July 1, 2024, is similar

 

Retail License cost is $10.00.

 

Retail License is in effect until June 30 of the year following the second calendar year after the date of issuance or renewal.

 

 

Vape Vending Machines

 

 

No vapor products may be sold from a vending machine unless the vending machine is located in an establishment:

 

  1. that is open only to persons 18 years of age and older; or

 

  1. where the vending machine is under the continuous control of the owner or licensee of the premises or an employee thereof and can be operated only upon activation by the owner, licensee, or employee prior to each purchase and the vending machine is not accessible to the pubic when the establishment is closed.

 

The owner, licensee, or employee shall demand proof of age from a prospective purchaser if the person has reasonable grounds to believe the prospective purchaser is under 18 years of age.

 

  • C. Gen. St. Section 14-313(b1).

 

Retail distributors of tobacco products and vapor products must prominently display near the point of sale a sign in letters at least 5/8ths of an inch high which states:

 

N.C. LAW STRICTLY PROHIBITS THE PURCHASE OF TOBACCO PRODUCTS, TOBACCO-DERIVED PRODUCTS, VAPOR PRODUCTS, AND CIGARETTE WRAPPING PAPERS BY PERSONS UNDER THE AGE OF 18.  PROOF OF AGE REQUIRED.

 

Retail dealers owning, leasing, furnishing or operating cigarette vending machines shall affix to each such machine in a conspicuous place an identification sticker or device, which shall show the name, address and telephone number of the operator owning and placing such machine on location. The owner of the business where machine is located shall also be responsible for seeing that such vending machine is so identified.

-           17 N.C. Admin. Code 04C .1201(a)

 

 

Vending Machines in General

 

Vending Machine Sales:

 

(a) Requirement. -- A person who sells tangible personal property through a vending machine is a retailer and shall register with the North Carolina Department of Revenue in accordance with 17 NCAC 07B .0104, and remit sales and use tax on the sales price of the items sold.

 

(b) Sales Price Subject to Tax. - Pursuant to G.S. 105-164.13(50), tobacco products and newspapers sold through a vending machine are taxed on 100 percent of the sales price for which the property is sold. Other tangible personal property sold through a coin-operated vending machine are taxed on 50 percent of their sales price. All items sold through a vending machine that is not coin-operated are taxed on 100 percent of the sales price for which the property is sold.

 

(c) Failure of a retailer to keep records that establish which vending machine sales are taxable at 50 percent of the sales price subjects the retailer to liability of 100 percent of the sales price for sale tax on the sale.

  • 17 N.C. Admin. Code 07B .2901

 

A good resource for information concerning license and permit requirements:

 

Economic Development Partnership of North Carolina Inc

150 Fayetteville St., Suite 1200

Raleigh, NC 27601

(919) 447-7777

 

Contact Economic Development Partnership’s Small Business Advisor Team at (800) 228-8443 to determine state license requirements.

 

Additional city, county, and state vending license requirements may apply. 

 

Check with local municipality about any additional licensing requirements.

 

Taxes and Additional Rules and Regulations

 

Vapor products are subject to an excise tax at the rate of 5 cents per fluid milliliter of consumable product.

  • C. Gen. St. Section 105-113.36A

 

All e-liquid containers must be packaged in child-resistant packaging.

  • C. Gen. St. Section 14-401.18A(b)

 

All e-liquid containers that contain nicotine must be in a package that states the product contains nicotine.

  • C. Gen. St. Section 14-401.18A(c)

 

To ensure uniformity, no North Carolina political subdivision, board, agency, city, municipality, municipal corporation, town, township, village, or any department thereof, may enact ordinances, rules or regulations concerning the sale, distribution, display or promotion of vapor products on or after August 1, 2013.

  • C. Gen. St. Section 14-313(e).