Turn Convenience Into an Opportunity
Give your customers convenient access to vape and nicotine products without adding another task to your staff. Our Vape Vending Machines are designed for bars, restaurants, nightclubs, and other eligible venues where adult customers are looking for convenient access to popular nicotine products. The machines provide a simple, self-service experience while helping your business make better use of its space and create an additional revenue opportunity.
Benefits for Your Business
Create an Additional Revenue Stream Turn a small amount of floor space into an opportunity to generate additional income from products your customers are already looking for.
No Extra Work for Your Staff Your employees don't have to stop what they're doing to handle product sales. The vending machine provides a convenient self-service option for eligible adult customers.
Perfect for Nightlife Bars and restaurants are natural locations for convenient nicotine vending. Customers can access products without having to leave your establishment and make another stop.
Increase Customer Convenience Give your customers one more reason to stay in your establishment. When they realize they've run out of a nicotine product, they can purchase what they need without leaving the venue.
Professional, Organized Display Our machines provide a clean and organized way to display products without taking up valuable counter space or requiring additional shelving.
Age-Restricted Environment Our vape vending solutions are intended for use in eligible locations and incorporate age-verification requirements appropriate for regulated nicotine sales.
Make Your Space Work for You Whether you have an unused corner, entry area, or other high-traffic space, a vending machine can turn otherwise underutilized space into a useful customer amenity and potential revenue generator.
1. SALE RESTRICTIONS – AGE MINIMUM
Prohibited Sale Under Age 21:
“A person may not sell, give, or cause to be sold or given a cigarette, e-cigarette, or tobacco product to someone younger than 21 years of age.”
Texas Health & Safety Code § 161.082(d)
Military Exception:
“Subsection (d) does not apply to a person who is at least 18 years of age and presents a valid military identification card of the United States military forces or the state military forces.”
Texas Health & Safety Code § 161.082(e)
Note: Federal law overrides this exception.
2. VENDING MACHINE PLACEMENT LAWS:
Sec. 161.086. VENDOR ASSISTED SALES REQUIRED; VENDING MACHINES. (a) Except as provided by Subsection (b), a retailer or other person may not:
(b) Subsection (a) does not apply to:
(c) The comptroller or a peace officer may, with or without a warrant, seize, seal, or disable a vending machine installed or maintained in violation of this section. Property seized under this subsection must be seized in accordance with, and is subject to forfeiture to the state in accordance with, Subchapter H, Chapter 154, Tax Code, and Subchapter E, Chapter 155, Tax Code.
(d) A person commits an offense if the person violates Subsection (a). An offense under this subsection is a Class C misdemeanor.
Added by Acts 1997, 75th Leg., ch. 671, Sec. 1.01, eff. Jan. 1, 1998. Amended by Acts 1999, 76th Leg., ch. 567, Sec. 1, eff. Sept. 1, 1999.
Amended by:
Acts 2015, 84th Leg., R.S., Ch. 181 (S.B. 97), Sec. 10, eff. October 1, 2015.
Acts 2019, 86th Leg., R.S., Ch. 500 (S.B. 21), Sec. 9, eff. September 1, 2019.
Allowed Locations Only:
“A person may not sell cigarettes or e-cigarettes through a vending machine unless the machine is located:
(1) in a facility or business that is not open to persons younger than 21 years of age at any time;
(2) in a humidor… not open to persons younger than 21…; or
(3) on the premises of a package store with an appropriate permit.”
Texas Health & Safety Code § 161.086(b)
Ownership Restriction:
“A person may not engage in business as a retailer of e-cigarettes in this state unless the person has been issued a permit.”
§ 147.0051(a)
“The permit must be displayed at the place of business for which the permit is issued.”
§ 147.0051(b)
3. REQUIRED LICENSES AND PERMITS
A. E-Cigarette Retailer Permit
Required and must be obtained from the Texas Comptroller. Texas Health & Safety Code § 147.0051
(a) A person may not engage in business as an e-cigarette retailer in this state unless the person has been issued a permit from the comptroller.
(b) An e-cigarette retailer shall obtain a permit for each place of business owned or operated by the e-cigarette retailer. The comptroller may not issue a permit for a place of business that is a residence or a unit in a public storage facility.
(c) The comptroller shall prescribe the form and content of an application for a permit and provide the form on request.
(d) The applicant shall accurately complete all information required by the application and provide the comptroller with additional information the comptroller considers necessary.
(e) Each applicant that applies for a permit to sell e-cigarettes from a vehicle must provide the make, model, vehicle identification number, registration number, and any other information concerning the vehicle the comptroller requires.
(f) All financial information provided under this section is confidential and not subject to Chapter 552, Government Code.
(g) Permits for engaging in business as an e-cigarette retailer are governed exclusively by the provisions of this code.
Added by Acts 2021, 87th Leg., R.S., Ch. 994 (S.B. 248), Sec. 1, eff. September 1, 2021.
Sec. 161.081. DEFINITIONS. In this subchapter:
(1) “Cigarette” has the meaning assigned by Section 154.001, Tax Code.
(1-a) (A) “E-cigarette” means:
(i) an electronic cigarette or any other device that simulates smoking by using a mechanical heating element, battery, or electronic circuit to deliver nicotine or other substances to the individual inhaling from the device; or
(ii) a consumable liquid solution or other material aerosolized or vaporized during the use of an electronic cigarette or other device described by this subdivision.
(B) The term “e-cigarette” does not include a prescription medical device unrelated to the cessation of smoking.
(C) The term “e-cigarette” includes:
(i) a device described by this subdivision regardless of whether the device is manufactured, distributed, or sold as an e-cigarette, e-cigar, or e-pipe or under another product name or description; and
(ii) a component, part, or accessory for the device, regardless of whether the component, part, or accessory is sold separately from the device.
(1-b) “Minor” means a person under 21 years of age.
(2) “Permit holder” has the meaning assigned by Section 147.0001, Health and Safety Code, or Section 154.001 or 155.001, Tax Code, as applicable.
(3) “Retail sale” means a transfer of possession from a retailer to a consumer in connection with a purchase, sale, or exchange for value of cigarettes, e-cigarettes, or tobacco products.
(4) “Retailer” means a person who engages in the practice of selling cigarettes, e-cigarettes, or tobacco products to consumers and includes the owner of a coin-operated cigarette, e-cigarette, or tobacco product vending machine.
(5) “Tobacco product” has the meaning assigned by Section 155.001, Tax Code.
(6) “Wholesaler” has the meaning assigned by Section 154.001 or 155.001, Tax Code, as applicable.
B. Sales and Use Tax Permit
“Retailers must obtain a sales and use tax permit before selling taxable goods or services.”
Texas Tax Code § 151.201
C. Employee Notification Requirement
“An employer shall ensure each employee has signed a form stating the employee understands and agrees to comply.”
Texas Health & Safety Code § 161.085(a)
4. TAXES ON VAPE PRODUCTS
A. Excise Tax:
Texas does not impose an excise tax on vapor products.
Confirmed by absence in Texas Tax Code Chapter 155
B. Sales Tax:
“A tax is imposed on each sale of a taxable item in this state.”
Texas Tax Code § 151.051
5. PACKAGING REQUIREMENTS
Child-Resistant Containers:
“A person may not sell liquid nicotine unless the container is child-resistant or is prefilled and sealed by the manufacturer.”
Texas Health & Safety Code § 161.0875
6. ADVERTISING & PACKAGING RESTRICTIONS
Attractive to Minors Ban:
“A person may not sell or market vapor products in a container that… depicts cartoon-like fictional characters… imitates child-marketed products… or includes images attractive to minors.”
Texas Health & Safety Code § 161.0876
7. SAMPLING AND COUPONS
“A person may not distribute to individuals younger than 21 years:
(1) a free sample of vapor product;
(2) a coupon for discounted product;
(3) any promotional item redeemable for product.”
Texas Health & Safety Code § 161.087
8. LOCAL LICENSING & ADDITIONAL COMPLIANCE
Check with city or county offices for: zoning, local vending permits, and possible health department oversight.
1. Licensing & Permitting Requirements
A. Retail Tobacco/Vapor Products License
Required by: Oklahoma Tax Commission (OTC)
Legal Basis: Okla. Stat. tit. 68, § 302–303
Who Must Apply:
Any individual or business selling tobacco, nicotine, or vapor products, including through vending machines, must apply.
Application:
- Form TC-132 – “Application for Retail Tobacco License”
- Download: https://oklahoma.gov/tax.html
- Fee: $30 per location per year
- Separate application per vending machine location
- Submit via mail or OTC’s OkTAP Portal: https://oktap.tax.ok.gov
2. Excise Tax & Sales Tax
A. Vapor Products Excise Tax
Imposed by: 68 O.S. § 425.3
Rate: $0.05 per milliliter of e-liquid or vape consumable product.
- Tax must be prepaid by distributor or importer
- However, vending operators must ensure products were tax-paid
- Maintain invoices from Oklahoma-licensed distributors
B. Sales Tax
Collected by: Oklahoma Tax Commission
- State rate: 4.5%
- Local taxes: Vary by city/county (up to 5.5% extra)
- Required: Sales Tax Permit
- File using Form STS-20002
- Apply online: https://oktap.tax.ok.gov
3. Placement Restrictions
Statutory Authority:
Okla. Stat. tit. 37 § 600.10(B)
Vape/Nicotine Vending Machines Are:
Prohibited in areas accessible to persons under 21
Permitted if:
- Placed in a facility where all patrons are 21+, or
- In line of sight and under direct supervision of an employee, AND
- Inoperable when the business is closed
4. Regulatory Authorities
| Agency | Function | Website |
|---|---|---|
| Oklahoma Tax Commission (OTC) | Licensing, excise & sales tax | oklahoma.gov/tax |
| Oklahoma ABLE Commission | Retail sales enforcement, underage access |
ok.gov/able |
| Oklahoma State Dept. of Health | Product compliance (packaging, signage) |
oklahoma.gov/health |
5. Mandatory Machine Signage Per Okla. Stat. tit. 21 § 1247, and ABLE Commission retail guidance:Your vending machine must clearly display:
“Sale of vapor products or nicotine to persons under 21 is prohibited by Oklahoma law. Government-issued ID required.”
Also recommended:
“This vending machine is operated by [Business Name], [Address], Oklahoma Sales Tax ID #[xxxxxx]”
6. Local/Municipal RequirementsUnder 63 O.S. § 1-1527, cities or counties cannot create new regulations restricting vapor product sales beyond state law. However:
- Zoning laws (e.g., distance from schools, churches, or residential zones) may apply
- Always check with city hall or zoning department in the vending location municipality
7. Compliance Obligations
- Keep all purchase invoices from licensed OK distributors for 3 years
- Ensure all products are in child-resistant packaging and labeled per FDA and Oklahoma requirements
- File monthly or quarterly sales tax reports
- Renew licenses annually
- Prohibit access to machines during non-business hours
1. Placement Restrictions (Vending Machines)
Statutory Authority: 61-37-15. Vending machines; restrictions on sales of tobacco products.
A. Except as provided in Subsections B and C of this section, a retailer selling goods at a retail location in New Mexico shall not use a self-service display for tobacco products.
B. Tobacco products may be sold by vending machines only in age-controlled locations where minors are not permitted.
C. The sales and display of cigars may be allowed only in age-controlled locations where minors are not permitted.
History: Laws 2020, ch. 46, § 15.
"Tobacco product" means a product made or derived from tobacco or nicotine that is intended for human consumption, whether smoked, chewed, absorbed, dissolved, inhaled, snorted, sniffed or ingested by any other means, including cigars, cigarettes, chewing tobacco, pipe tobacco, snuff, e-cigarettes or electronic nicotine delivery systems.
- Bars or lounges requiring ID at the entrance
- Clubs with controlled access
- Private workplaces with enforced age restrictions
2. Licensing & Permitting Requirements
Retail and Vending Machine Licensing
“No person shall engage in the business of manufacturing, distributing or selling tobacco products or nicotine products in this state unless the person has a license.”
N.M. Stat. Ann. § 61-37-3(A)
Issued by:
New Mexico Regulation and Licensing Department (RLD) – Alcoholic Beverage Control Division, Tobacco Section
Website: www.rld.nm.gov
Application Details:
- Separate license required for each vending machine or location
- Annual renewal required
- Background check may be included
Vending Machine Identification (Tax)
Every vending machine operator must also register for Gross Receipts Tax with:
New Mexico Taxation and Revenue Department (TRD)
Website: www.tax.newmexico.gov
Enforcement: Violations are classified as misdemeanors under N.M. Stat. Ann. § 30-49-5.
3. Taxes and Fees
Excise Tax (on Vapor and Nicotine Products)
“Excise tax is imposed at the rate of $0.50 per closed cartridge or container of e-liquid and 12.5% of the product value for open system e-liquids.”
N.M. Stat. Ann. § 7-12A-3 (2020)
- Applies to all retail sales, including through vending machines
- Must be paid by licensed vendors
- Collected and enforced by Taxation and Revenue Department (TRD)
Sales Tax / Gross Receipts Tax (GRT)
- GRT applies to sales of all tangible property sold in New Mexico
- Rates vary by location (typically ~5.125% to 9%)
- Operators are responsible for monthly filings
4. State Regulatory Bodies
Primary Oversight Agencies:
- New Mexico Regulation and Licensing Department (RLD)
Handles: Vendor licensing and enforcement
https://www.rld.nm.gov/boards-and-commissions/tobacco-products-act/ - New Mexico Taxation and Revenue Department (TRD)
Handles: Excise taxes, GRT, vending tax registration
https://www.tax.newmexico.gov/ - New Mexico Department of Health (DOH)
Enforces underage sales violations and signage compliance
https://www.nmhealth.org/
5. Municipal or City Ordinances
“A municipality or county shall not adopt ordinances regulating the sale, use, distribution or advertising of tobacco products or nicotine products that are more stringent than the provisions of the Tobacco Products Act.”
N.M. Stat. Ann. § 30-49-7
Implication:
Cities cannot create stricter laws, such as local flavor bans or age requirements. However, local business licenses and zoning permits may still be required. Always consult:
- City Clerk or Business Licensing Department
- Local zoning office
6. Additional Compliance Requirements
- Signage Requirement: A sign must be posted near vending machines:
"It is unlawful to sell nicotine or tobacco products to persons under 21 years of age."
Packaging:
All vape or nicotine liquid containers must be:
- Child-resistant
- Labeled with a nicotine warning (federal compliance)
Free Samples Prohibited:
Giving away or sampling nicotine/vape products is illegal in NM under N.M. Stat. Ann. § 30-49-3(A).
Disclaimer: This page is intended for informational purposes only and should not be considered legal advice. Consult official state specific government resources for the most current regulations.
You provide the location. Yellow City Vending provides the vending solution.
Give your customers the convenience they want while creating another opportunity for your business.
Interested in adding a Vape Vending Machine to your bar or restaurant? Contact Yellow City Vending to see if your location qualifies.
