The bill HB145 Engrossed amends the Code of Alabama 1975 to enhance the regulation of tobacco product sales and transportation within the state. It introduces the definition of an "interstate warehouser," requiring them to obtain a permit from the Department of Revenue, and establishes a new section, §40-25-15.1, detailing application processes, enforcement provisions, and penalties for noncompliance. Key changes include the deletion of outdated language and the insertion of clearer definitions, as well as stipulations that only licensed wholesalers and distributors may purchase and affix tax stamps to tobacco products. The bill also classifies untaxed tobacco products found outside licensed locations as contraband, allowing for their confiscation by law enforcement.

Additionally, the bill mandates that individuals transporting tobacco products must possess an active interstate warehouser or transporters permit, with violations leading to the products being declared contraband. It imposes penalties based on the quantity of tobacco involved, with significant quantities resulting in felony charges. The bill requires sellers to file monthly reports with the Department of Revenue and establishes a website for permitted tobacco sellers. It also outlines the requirements for obtaining and maintaining an interstate warehouser permit, including fees and conditions for denial or revocation. Overall, the bill aims to strengthen regulatory oversight and compliance in Alabama's tobacco industry, with an effective date set for October 1, 2026.

Statutes affected:
Introduced: 40-25-1, 40-25-4, 40-25-8, 40-25-8, 40-25-16, 40-25-18, 40-25-25
Engrossed: 40-25-1, 40-25-4, 40-25-8, 40-25-8, 40-25-16, 40-25-18, 40-25-25