Illinois Statewide Rule

Illinois Vape Retail Licensing Under Tobacco Products Tax Act

Some RestrictionsApplies statewide across Illinois (2026)

Key Facts

Tobacco T21 Act: 720 ILCS 680
Tax Act: 35 ILCS 143
Wholesale Tax: 45% (since July 2025)
Regulator: Illinois Dept of Revenue

Last verified: August 20, 2026Source: Illinois General Assembly

Summary

Illinois requires retailers selling electronic cigarettes and e-liquids to obtain Department of Revenue licensing and follow age-verification, packaging, and tax rules statewide.

Beginning on January 1, 2016, no person may engage in business as a retailer of tobacco products in this State without first having obtained a license from the Department. Application for license shall be made to the Department, by electronic means, in a form prescribed by the Department. Each applicant for a license under this Section shall furnish to the Department, in a form signed and verified by the applicant under penalty of perjury, in an electronic format established by the Department, the following information:

Source: Illinois General AssemblyView official code

Full Breakdown

The Prevention of Tobacco Use by Persons under 21 Act (720 ILCS 680) and the Tobacco Products Tax Act of 1995 (35 ILCS 143) regulate retail sales of electronic cigarettes and vaping products. Retailers must obtain a distributor or retailer license from the Illinois Department of Revenue, collect the wholesale tax on e-cigarette products, raised from 15 percent to 45 percent of the wholesale price effective July 1, 2025, verify ID for any purchaser appearing under 30, and use child-resistant packaging compliant with federal Poison Prevention Packaging Act standards. Self-service displays of e-cigarettes are barred except in adult-only establishments.

Violations & Penalties

Retail violations may result in fines up to $1,000 per offense, license suspension or revocation, and Class A misdemeanor charges for repeated sales to minors.

Frequently Asked Questions

Do Illinois vape shops need a state license?

Yes. Retailers must obtain a tobacco products distributor or retailer license from the Illinois Department of Revenue and remit the wholesale tax on e-cigarette products, which rose to 45 percent in July 2025.

Are self-service displays of vape products allowed?

No. Self-service displays of electronic cigarettes are prohibited in retail stores open to minors. Only adult-only tobacco shops may use self-service displays.

Sources

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