On October 1, 2026, Act 2025-377 (Ala. Code Section 40-25-81), administered by the Alabama Department of Revenue (ALDOR), applies a state excise of $0.10 per milliliter on consumable vapor products. Alabama wholesalers of consumable vapor products (e-liquids and vape liquids), importers of consumable vapor products into Alabama, Alabama vape shops and retailers selling consumable vapor products, and vapor product manufacturers distributing into Alabama must obtain an ALDOR Vapor Products Tax license via My Alabama Taxes and collect and remit that $0.10 per milliliter excise on products sold at wholesale or imported into Alabama by October 1, 2026, or they face assessed penalties and untaxed product cannot be lawfully stamped or sold in Alabama.
Wholesalers remit the excise on wholesale sales and on imports into Alabama for use, consumption, or retail sale. A retailer or a consumer who receives untaxed product must remit the tax on it. No new local vapor tax may be imposed after October 1, 2025. ALDOR's notice dated September 1, 2026, posted September 8, 2026, states that license registration opens on October 1, 2026. No adopted postponement is on record, so October 1, 2026 stands.
- Deadline : October 1, 2026, the consumable vapor products tax applies
- Who : Alabama wholesalers, importers, vape shops and retailers, and manufacturers distributing consumable vapor products into Alabama
- What : Obtain an ALDOR Vapor Products Tax license via My Alabama Taxes and collect and remit $0.10 per milliliter
- Otherwise : Assessed penalties for unlicensed sales, and untaxed product cannot be lawfully stamped or sold in Alabama
- Official source : ALDOR tobacco tax rates
What is due on October 1, 2026
Wholesalers remit $0.10 per milliliter on consumable vapor products sold at wholesale or imported into Alabama. ALDOR's Business and License Tax Division, Tobacco Tax Section, administers the tax under Ala. Code Title 40, Chapter 25, and Vapor Products Tax license registration opens in My Alabama Taxes on the same day.
ALDOR published implementation notices for Act 2025-377 and for the heated tobacco tax in Act 2025-448 on June 20, 2025. The heated tobacco tax has applied since November 1, 2025 and is not due on October 1, 2026.
| Date | Step |
|---|---|
| June 20, 2025 | ALDOR publishes implementation notices |
| November 1, 2025 | Heated tobacco products tax (Act 2025-448) applies |
| October 1, 2026 | Consumable vapor products tax (Act 2025-377) applies |
Who is covered
Covered actors are Alabama wholesalers of e-liquids and vape liquids, importers into Alabama, Alabama vape shops and retailers, and manufacturers distributing into Alabama. The dossier states a $0.10 per milliliter rate and no volume exemption. A local vapor tax already in force is separate from a new local levy, which the statute bars after October 1, 2025.
What to do before October 1, 2026
- Obtain an ALDOR Vapor Products Tax license through My Alabama Taxes before selling consumable vapor products on or after October 1, 2026.
- Collect $0.10 per milliliter on consumable vapor products sold at wholesale in Alabama.
- Apply the same rate to products imported into Alabama for use, consumption, or retail sale.
- Remit the excise as the wholesaler on those wholesale sales and imports.
- If you are a retailer or a consumer who receives product on which the tax has not been paid, remit the tax on that product.
- Do not build a new local vapor tax into pricing: none may be levied after October 1, 2025.
What happens otherwise
Selling without an ALDOR license draws assessed penalties, and untaxed product cannot be lawfully stamped or sold in Alabama. The sources do not state a dollar amount. The responsible agency is ALDOR's Business and License Tax Division, Tobacco Tax Section. Continuous per-jurisdiction monitoring on Obsidian surfaces a state tax start date of this kind when the official notice is published.
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