CIGAR BRAND TIPS & TRICKS
Selling Cigars in New York: What You Need to Know to Get Started
Written by: Niko San Pedro
Instagram: @nikosanpedro
New York is a state that offers many opportunities for entrepreneurs looking to break into the cigar business. With its bustling urban centers, thriving hospitality industry, and diverse population, New York is a key market for cigar businesses. However, the state's regulations surrounding tobacco can be complex, and it’s essential to understand the necessary steps to sell cigars legally and successfully in New York.
As a business owner operating out of Florida, I’ve helped countless clients navigate the challenges of expanding into New York, and it’s clear that understanding the licensing and compliance process is the first step to success. Let’s dive into the steps involved in selling cigars in the Empire State, and how we at FarmhouseBlends.com can support you through the journey.
Step 1: Obtain Your Federal Tobacco License
Before you get into the specifics of New York's tobacco regulations, it’s important to first secure the appropriate federal tobacco licenses. These licenses, issued by the Alcohol and Tobacco Tax and Trade Bureau (TTB), include the Tobacco Manufacturer’s License and the Wholesale Dealer’s License. These licenses are required for anyone in the cigar business across the country, including in New York.
While the paperwork for obtaining a TTB license can be detailed, don’t let it deter you. At FarmhouseBlends.com, we offer guidance on navigating this process, helping you understand what documents and information you need to submit.
You can start your application and find more information through the TTB website.
Step 2: New York State Tobacco License Requirements
Once you’ve obtained your federal licenses, the next step is to apply for a New York State Tobacco Retailer’s License through the New York State Department of Taxation and Finance. This license is required for any business selling cigars in New York, whether you’re operating a brick-and-mortar shop or selling online to customers in the state.
The application process can be done online, and New York State requires tobacco retailers to report their tobacco sales regularly. As part of the process, your business will be required to maintain accurate records of all tobacco transactions and pay relevant taxes.
To apply for your New York State Tobacco Retailer’s License, visit the New York Department of Taxation and Finance.
Step 3: Understand New York's Tobacco Taxes
New York has some of the highest tobacco taxes in the United States. The state imposes a $4.35 per pack tax on cigars, which is one of the highest rates in the country. Additionally, you’ll need to account for taxes on any tobacco sales in New York, including sales to both consumers and other businesses.
Staying on top of the tax rates and ensuring that taxes are paid on time is crucial to your success in the state. The New York State Department of Taxation and Finance will require you to report tobacco tax payments regularly, and failing to do so can result in hefty fines or penalties.
For more information on New York’s tobacco tax rates and filing deadlines, check out the NY Tax Tobacco page.
If you need help with taxes, don’t worry! FarmhouseBlends.com provides resources and guidance to ensure that you comply with state and federal tax regulations. While we don’t handle taxes directly, we can connect you to experts who can assist in the filing process.
Step 4: Age Verification and Sales Regulations
New York enforces strict age restrictions on the sale of tobacco. The legal age to purchase cigars and tobacco products in the state is 21, and it’s your responsibility to verify the age of every customer who buys cigars from your business. New York State requires that all tobacco retailers ensure that they don’t sell tobacco to anyone under 21, and failing to do so can result in fines or suspension of your license.
In addition to age verification, you will also need to stay up to date on any local ordinances or restrictions regarding the sale of tobacco products in your specific county or city. For example, some cities have additional zoning laws or restrictions on the locations where tobacco retailers can operate.
At FarmhouseBlends.com, we help you stay compliant with all local and state regulations. We offer tips and resources for ensuring that your business follows best practices for age verification and local laws, so you can focus on growing your brand.
Step 5: Packaging and Labeling Compliance
New York is known for having some of the most detailed tobacco packaging and labeling requirements in the country. All cigars sold in the state must include specific health warnings on their packaging, and these warnings must be clear and easy to read. Additionally, New York enforces the Tobacco Control Act, which regulates the labeling of tobacco products, and any violation can lead to fines.
In addition to health warnings, businesses must also be aware of New York's restrictions on flavored tobacco products, which are banned in the state. Ensuring that your cigars are compliant with these regulations is essential before selling them in the market.
If you need assistance with designing compliant packaging or understanding the latest regulations, FarmhouseBlends.com can help. We offer guidance on what to include on your packaging and how to ensure that your cigars are market-ready while following New York’s strict laws.
How FarmhouseBlends.com Can Help You Build Your Cigar Brand
At FarmhouseBlends.com, our mission is to help entrepreneurs build and grow their cigar brands, not just navigate regulatory requirements. We specialize in providing the support and resources you need to succeed in the competitive cigar market. Whether you’re in New York or any other state, we offer guidance on branding, marketing, and distribution to help you build a strong, recognizable cigar brand.
Our goal is to simplify the business side of cigars, so you can focus on creating the best product possible. From regulatory advice to business strategy, we’re with you every step of the way.
Checklist for Selling Cigars in New York:
Obtain federal tobacco licenses (Tobacco Manufacturer’s License, Wholesale Dealer’s License) through the TTB.
Apply for a New York State Tobacco Retailer’s License from the New York Department of Taxation and Finance.
Understand New York’s tobacco tax rates and ensure you’re complying with reporting requirements.
Verify customer age (21+), using age verification tools and best practices.
Follow New York’s packaging and labeling laws, including health warnings and flavored tobacco restrictions.
Stay informed about local ordinances in New York cities and counties where you plan to sell cigars.
Join Our FREE Online Cigar Community
Building a cigar business is about more than just following the rules—it’s about connecting with others, sharing experiences, and learning from each other. That’s why we invite you to join our FREE online cigar community. It’s a place where you can connect with other cigar entrepreneurs, share tips, and get advice from others who are navigating similar challenges.
Join our FREE online cigar community today!
Final Thoughts
Starting a cigar business in New York requires a good understanding of the state’s regulations, taxes, and licensing requirements. While it can feel overwhelming, you don’t have to do it alone. FarmhouseBlends.com is here to guide you through every step of the process, helping you build a strong foundation for your cigar business.
From regulatory compliance to marketing strategies, we’re here to help you grow your brand and succeed in the competitive New York market. Don’t hesitate to reach out if you need advice or support as you work to expand your cigar business.
