Bill No. 680, introduced by Senator Paxton and Representative Caldwell, amends several sections of the Oklahoma Statutes regarding the taxation of heated tobacco products. The bill modifies the definition of "cigarette" to include products intended to be heated or burned, while also updating the definitions of various terms related to the sale and distribution of cigarettes. Notably, it removes references to substitutes for rolled tobacco and clarifies the roles of wholesalers, distributors, and jobbers in the cigarette market.

Additionally, the bill establishes a new exemption from the stamp excise tax for cigarettes intended to be heated, allowing for a 50% reduction in taxes levied under the relevant statutes. It mandates that the Oklahoma Tax Commission create rules and regulations to implement this exemption and ensure that stamps for heated tobacco products are available by the effective date of the act, which is set for November 1, 2025. The bill also updates statutory language and references to improve clarity and compliance with the new provisions.