Frequently Asked Questions About Cigarette and Tobacco Tax

Can an in-state cigarette wholesaler buy unstamped cigarettes from another in-state wholesaler?

No.

Can a cigarette wholesaler transfer cigarette tax stamps to another cigarette wholesaler?

No.

Is there a minimum age for a person selling cigarettes?

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 cigarettes?

Twenty-one years old.

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 attorney in the county where the criminal violation is filed.

Consumable Material Tax

What is considered “consumable material”?

Consumable material is defined as any liquid solution or other material 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 $0.05 per milliliter.

How do I apply for a consumable material registration certificate?

Complete Form EC-1 - Application for Consumable Material Tax Registration. Submit the completed application to Division of Taxation, Cigarette & Tobacco, PO Box 750680, Topeka, KS 66675-0680. If you prefer, you may apply online, fax the completed application to 785-296-2703 or email it to: KDOR_cigtob@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?

The EC-2 is due the 20th of the month following the report month. Submit the completed report and payment to Division of Taxation, Cigarette & Tobacco, PO Box 750680, Topeka, KS 66675-0680. NOTE: Electronic filing is also available.

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. Additionally, a retail dealer must have a Retail / E-cigarette Dealer’s License.

I sell consumable material and/or electronic cigarettes over the internet. Do I need to register for consumable material tax?

If you sell consumable material to the end user in Kansas and the tax has not already been paid, you are required to register for 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. For instate registrants, you will report all purchases and sales of consumable material on lines 1a and 1b of form EC-2. You will then report sales to out of state customers or the consumable material on which the consumable material tax has already been paid on lines 2a and 2b. The totals from line 2 are deducted from the totals of line 1 to determine the milliliters consumable material subject to the $0.05 per milliliter tax. For out of state registrants, you will only report consumable material that is shipped into Kansas on lines 1a and 1b, line 2a will always be zero.

Can I register and file my reports online?

Yes. Please contact our office.

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 retain the sales information 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, Cigarette & Tobacco team:
Email: KDOR_cigtob@ks.gov
Telephone: 785-368-8222 (option 5, then option 4, then option 1)
8 a.m. to 4:45 p.m., Monday through Friday