Frequently Asked Questions About Cigarette
Can an in-state cigarette wholesaler
buy unstamped cigarettes from another in-state wholesaler?
Can a cigarette wholesaler transfer
cigarette tax stamps to another cigarette wholesaler?
Is there a minimum age for a person
There is no Kansas Statute or Regulation specifying an age limit for the selling of cigarettes or tobacco products. Please check with local authorities.
What is the minimum age to buy
Eighteen years old.
I have heard conflicting stories in my area about the legal age to purchase cigarettes. Do you have to be 18 or 21 years old?
State law mandates that a person must be at least 18 years old to purchase cigarettes; however, several cities have changed their local ordinances and require a person to be at least 21 years old to buy cigarettes. Because the Division of Taxation is a state agency, it enforces the state law requirement. A local jurisdiction could still cite a business, clerk or customer under their own city/county ordinance.
When a business gets an administrative citation for selling cigarettes to an underage person, can the employee that sold the cigarettes be criminally charged?
Yes. However, that decision is up to the district court judge in the county where the criminal violation is filed.
Consumable Material Tax
What is considered “consumable material”?
Consumable material is defined as any liquid nicotine or other solution containing nicotine. For purposes of this definition, consumable material is the final product sold to consumers that is depleted as an electronic cigarette is used.
Who is liable for the consumable material tax?
The consumable material tax is to be paid by the distributor who first brings or causes to be brought into Kansas consumable material for sale in Kansas; makes, manufactures, or fabricates consumable material in Kansas for sale in Kansas; or, ships or transports consumable material to retail dealers in Kansas to be sold by those retail dealers.
How much is the tax on consumable material?
Consumable material is taxed at the rate of $0.20 per milliliter.
How do I apply for a consumable material registration certificate?
Complete Form EC-1 (Application for Consumable Material Tax Registration), available by clicking here. Submit the completed application to Division of Taxation, Miscellaneous Tax, 915 SW Harrison St., Topeka, KS 66612-1588. If you prefer, you may fax the completed application to 785-296-4993 or email to: KDOR_Miscellaneous.Tax@ks.gov.
What is the registration fee for consumable material?
There is no registration fee.
What form do I fill out to report and remit the tax on the consumable material? What is the filing frequency and due date of the report?
A monthly consumable material tax report (Form EC-2) and accompanying schedules (forms EC-3, EC-4, and EC-5) must be filed and the consumable material tax paid by the 20th of the month following the report month. Submit the completed report, schedules and payment to Division of Taxation, Miscellaneous Tax, 915 SW Harrison St., Topeka, KS 66612-1588. NOTE: Electronic filing will be available at a later date.
I am a retail dealer. Do I have to report and pay the consumable material tax?
A retailer would need to register, report, and pay the consumable material tax if the consumable material was purchased from a distributor or manufacturer who was not registered to pay the consumable material tax in Kansas. A retailer who manufactures the consumable material and sells it to the final consumer must also register, report and pay the consumable material tax.
I sell consumable material and/or electronic cigarettes over the internet. Do I need to register for consumable material tax?
Yes. If you have nexus in Kansas, you are required to be registered for consumable material tax. If you do not have nexus in Kansas, you are not required to be registered; however, your customer will be responsible for paying the consumable material tax.
I am a consumer who purchases consumable material online. Am I responsible for paying the consumable material tax?
If the seller is registered in Kansas and has already paid the consumable material tax, you do not need to register or pay the consumable material tax. However, if the seller is not registered and the tax has not been paid, then you, the consumer, will be responsible for registering and reporting/paying the consumable material tax.
Is sales tax charged on the consumable material and electronic cigarettes containing consumable material?
Yes. Sales of tangible personal property at retail are subject to the Kansas retailer’s sales tax, which includes the state tax and any local sales taxes.
Can consumable material tax be charged to the consumer?
No. Because the consumable material tax is paid at the distributor level, consumers are not directly charged the consumable material tax. Retail dealers who manufacture consumable material to be sold to the consumer (end-user) are considered distributors and are responsible for registering, reporting and remitting the consumable material tax. The consumable material tax is not directly charged to the consumer.
As a distributor or manufacturer, do I only report purchases and sales that are subject to the consumable material tax?
No. On Schedules A and B, you will report all purchases and sales of consumable material. You will then use Schedule C to report sales to out-of-state customers or the consumable material on which the consumable material tax has already been paid. The totals from Schedule C will be deducted from the totals of Schedule A and Schedule B, on the EC-2 report, to determine the milliliters consumable material subject to the $0.20 per milliliter tax.
Can I register and file my reports online?
Not at this time. Electronic registration and reporting will be available in the future.
I am a retail dealer who manufactures consumable material and sells it to the consumer. Do I have to list everyone I sell consumable material or electronic cigarettes to?
No. You will only need to report the number of milliliters of consumable material manufactured and sold. However, if you manufacture consumable material to be sold to a distributor or another retailer, you will need to report those sales and pay the consumable material tax.
Whom do I contact if I have questions regarding the consumable material tax?
Please contact the Division of Taxation, Miscellaneous Tax team:
Telephone: 785-368-8222 (option 5, then option 4)
8 a.m. to 4:45 p.m., Monday through Friday